Expert Advisorz Trust


In India, as per the Trust Act, 1882 any person can register themselves as trust who commence a non –profit organisation for voluntary charitable work. A trust can be created by execution of a trust deed; there are two types of trust. A public trust (charitable trust) is created for the benefit of general public whereas a private trust is created for the benefit of a particular group of individuals known as the beneficiary.

In case the foreign corporation has plans to operate in India on a full-fledged scale just like an Indian company then a subsidiary company of such an international company is the answer. The subsidiary of Foreign Company may be incorporated in the form of private or a public company. As an Indian Subsidiary Company, it shall be subject to the same set of rules which applies to any other Indian company.

The incorporation of a subsidiary company in India is subject to sectoral ceiling/limit of foreign direct investment (FDI). FDI in India can be through following routes:

Trust Registration Procedure

The first step to register a trust starts with the drafting of a trust deed. The trust deed is to be executed on appropriate non-judicial stamp paper, the rate of stamp duty differs from state to state. The next step is to seek an appointment with the sub-registrar office having jurisdiction based on the registered office of the trust, and the government registration fee is to be paid after that. On the appointed date the trust deed is presented before the sub-registrar where all trustees must be present along with two witnesses. The registration process is then undertaken at by the office of the sub-registrar, and the registered deed can be collected after a week time. The purpose for which a public trust can be created is for the benefit of general public, and the same must be clearly prescribed in the trust deed, as it guides its functioning in the course of time. Generally, a public trust is created for setting up a school, colleges, other educational initiatives, hospital, old age homes, orphanage, for promotion of child health and their empowerment, welfare of weaker section of society, and for fulfillment of Corporate Social Responsibilities (CSR) by companies under section 135 of the Companies Act, 2013.

Documents required for Registration

  1. Trust Deed which is signed by settler and trustee in the presence of two witness
  2. The trustee can be any person that is an individual or body corporate which is capable of holding property and competent to enter into a valid contract.
  3. It is mandatory to register the trust deed if it is a charitable or religious trust or about an immovable property
  4. For the purpose of registration, settlor or trustees and at least two witnesses must be physically present at the office of sub-registrar.
  5. The trust can be registered only in the state in which its registered office shall be situated. However, it can operate on all India basis

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