80g | 12a

Introduction

Trust is one of several social constructs, an element of the social reality. In our country, trusts set up for the social causes and approved by the Income Tax Department, get not only exemption from payment of tax but also the donors to such trusts can deduct the amount of donation to the trust from their taxable income. The legal   framework in India recognizes activities including "relief of the poor, education, medical relief, and the advancement of any other object of general public utility" as charitable reasons. Companies formed under Section 25 of the Companies Act, 1956 for promoting charity also receive profit under law including exemption from various procedural provisions of the Companies Act, either fully or in part, and are also eligible to such other exemptions that the Central Government may accord through its orders.

Time Period

It takes 15-20 days roughly for the enlistment of Trust from the date of filling of the requisition.

Documents required at the time of trust registration

1.      Minimum 3 members are required at the time of registration

2.      For registration in Delhi one has to supply one person from Delhi with Aadhar card along with one address proof. It may be electricity bill or water bill of any authorized area in Delhi.

3.       2 members are required from any part of India.

4.       2 photos and address proofs are required of all the members of the trust.

5.      Address proof may be voter id card, driving license or Aadhar card.

Advantages

Avoiding taxes: One common tax-saving trust is an irrevocable life insurance trust. If you die, the proceeds from your life insurance policy (the death benefit amount) are added back into your estate, often turning an estate that isn’t subject to federal estate taxes into an estate that needs to write a substantial check to the IRS!

Providing funds for educational purposes: 

You can set up a fund trusts that parcel out money for educational purposes with a no-school, no-money restriction.

Trusts can make money grantable to your children, grandchildren, other relatives, or even non-relatives     (your employees’ children, for example) for educational purposes, such as college tuition and living expenses.

Benefiting charities and institutions: You can help out charities by setting up some type of charitable trust that may, for example, annually give money to the charity while you’re still alive, give a larger amount upon your death, and continue to make regular payments out of the remainder.

you can set up a charitable trust to work the other way — pay you while you’re still alive, and upon your death, the remaining amount in the trust goes to the charity. Alternatively, You can even form a charitable trust to make regular payments to the charity for some amount of time but eventually “give back” whatever is left to you or, if you’ve died, to somebody else in your family.

Future scope

1.  To improve social, scholastic and social state of the individuals, attempt multidisciplinary   projects and work for the vote based system, great influence, and the acknowledgment of human rights, overall peace, equity and collaboration.
2.  To work for the destruction of debasement in our Nation. 
3.  Awareness about the worldwide socio economic situation.
4.  Helpful in the management of data.
5. Also helpful in community development.