Trust registration

Trust registration in India involves creating a legal entity to hold and manage assets for the benefit of specific individuals or the general public. There are broadly two types: Private Trusts (governed by the Indian Trusts Act, 1882) which benefit specific individuals or families, and Public Charitable Trusts (often governed by state-specific acts) established for charitable or religious purposes. Registration typically requires a Trust Deed, which outlines the trust’s objectives, details of the settlor (creator), trustees (managers), and beneficiaries. Once registered with the sub-registrar, public trusts can apply for tax exemptions under the Income Tax Act (like 12A and 80G), enabling them to receive donations with tax benefits for donors. This formalizes the trust, provides legal recognition, and ensures accountability in asset management.