Trust Registration: A better way to Start an NGO in India

If you desire to help people in an organized way, there are several choices the government has put before you. You can choose Trust Registration to establish a relationship with the one you serve. Or, you can start a society – if you want to treat your beneficiaries like a family.

And, if you desire to start something that looks similar to a business entity – choose Section 8 Company.

As you can see, the options you have before you are many. But only one among them can deliver you what you exactly need – a proper way to help those in need.  Read More: Insurance Marketing Firm

And that way is called Trust Registration.

Why choose to register a Trust in India?

Any form of NGO is enough if your desire to help people are pure. However, with Trust, you have something extra – the faith of regulatory authorities.

Here are the substantial benefits of starting a Trust in India:

1. Get access to land from the government: The Government of India provides special incentives to those with Trust Registration. Among those is the allocation of land.
2. No Federal governs a Trust in India: Unless you’re starting a trust in states such as Rajasthan, Madhya Pradesh or Maharashtra, you won’t have to worry about the government trying to oversee your activities.
3. Get all the tax benefits you require to grow: The government of India isn’t afraid to provide tax benefits to the trusts in India. It means that whatever donations come your way, you can use them fully to organize all the social welfare activities that you need.
4. Get the 80G-Certificate-Tax-Advantage: This is the perk that will motivate your donors to donate to your Trust. For every rupee they donate, they can get up to 50 paise of tax reductions.

Now comes the question – how to establish this type of NGO?

The Process to establish a Trust in India

Here are the steps of the procedures to follow to obtain Trust Registration in India:

1. Select a unique name for your Trust: The name of your Trust should exude all the right qualities: uniqueness, adhering to regulatory requirements and being inoffensive.
2. Select those you want to serve: Find the niche of people you can help with the help of your Trust. They will become your trustees, and you the trustor.
3. Draft the trust deed: Keeping in mind those you want to aid, draft a trust deed. It will lay the legal foundation on which will lay your NGO.
4. Prepare the Memorandum of Association: The MOA of Trust highlights its objectives. Therefore, it needs to be precise. And that’s why you must take assistance from an expert to draft this document.
5. Fill up the application form for Trust Registration: Start filling out the application form for the registration of Trust. It is an online form, and thus, you won’t have to worry about paying a visit to the Trust Registrar.
6. Submit a copy of your Trust deed to the Registrar: The Trust deed is the document based on which the Registrar will grant you the registration certificate. Therefore, before submission, make sure to assess this deed thoroughly. Read More:  Section 8 Company Registration
7. Get the certificate of Registration: The Registrar will first analyze your application. If it meets all the requirements of a Trust, you will obtain the Trust Registration Certificate.

Why is it better to register a Trust than a Society or a Company?

Whether it is a Section 8 Company, Society or Trust, an NGO has many common traits. However, the reasons that we always put Trust as a better option for a Non-Profit Organization are:

1. There is a lot of freedom when it comes to operating a Trust.
2. Because there is no regulatory authority in most states, registration profess doesn’t require much time.
3. And finally, the nature of a Trust makes it more “trustworthy” in the eyes of the government.

Conclusion

In conclusion, a Trust as your NGO would do more for you than society and a company. The procedure is simple, the benefits are many, and the government is more than willing to give it extra incentives.

And when there are so many perks to choose from, why select an inferior form of Non-Profit Organization.

Trust Registration is the way to go.

Are you planning to start an NGO in India? There are many options you have before you. But the best one is the Trust Registration. This blog explains why.