Trust /NGO

All the forms as Trust, Society or Non-Profit Company are known and classified as NGO. Society, Trust or Non-Profit companies all are known and identified as NGO, only formation, registration and management processes are the main differences. NGO can be formed in any type for social welfare and social development.

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Types of NGO Registration & NGO Registration Act

  •         Society Registration – Societies Registration Act, 1860
  •         Trust Registration – Indian Trusts Act, 1882
  •         Section 8 company Registration – Section 8 company Registration
Trust Registration:

The registration for trust can be done via the Society Registration Act, 1882. These are public charitable trusts and are usually formed when the land or property is involved. Indeed, usually, the usage of trust is for the relief of poverty, education, medical aid, etc.

Society Registration:

Another way in which you can register NGO is in the form of society. To form a society, the individual comes together for promoting scientific purpose, charitable purpose and various other objectives, as mentioned in Section 30 of the Society registration Act 1860.

Section 8 Company Registration:

The Companies Act defines a Section 8 company as one whose objective is to promote fields of arts, commerce, science, research, education, sports, charity, social welfare, religion, environment protection, or other similar objectives. These companies also apply their profits towards the furtherance of their cause and do not pay any dividend to their members.

Benefits of Trust /NGO

Power of the Trustees

As the name suggests, this specific clause talks about the responsibilities of the trustees.

Generally, such clauses confer the following powers to the trustees.

  • Appointing employee(s)
  • Alienating the trust properties
  • Opening the bank account in the Trust’s name
  • Suing defaulters in case of legal dispute on behalf of the Trust
  • Accepting any gift, donation via legitimate individuals or sources
  • Investing additional funding in securities
Registration Procedure in Trust /NGO
Requirements for Trust /NGO

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