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Trust Agreement for Charity purpose

This agreement is entered into for the formation of a trust for charitable purpose. This deed shall be guiding document for the trust and it cannot function beyond the ambit of this deed. Trust is a transfer of property [movable or immovable] by the owner [author/settler] to another person [trustee] for the benefit of a third person [beneficiary] along with or without benefit for himself/herself. Trust can be created either by executing testamentary document i.e. WILL or by non - testamentary document i.e. Deed of Trust signed and registered by the creator of the trust or trustee in case of immovable property. Also referred to as a "revocable living trust". The revocable living trust is an arrangement by which a Settlor can transfer ownership of his property into a trust throughout the course of your lifetime.

₹ 775.00

1

What is a trust?

Ans.

Trust is the confidence which one person places in another person when he transfers the property to that person with an obligation that the funds generated from it shall be utilized for the charitable and religious purposes.

2

How are trusts normally created?

Ans.

Trusts are created when the owner of a property transfers it to the trustees for its usage in public purposes.

3

What are the conditions of a valid trust?

Ans.

•The person who creates a trust should make an unequivocal declaration binding on him.
•He must transfer an identifiable property under irrevocable arrangement and totally divest himself of the ownership and the
beneficial enjoyment of the income from that property.
•The objects of the trust must be defined and specified.
•The beneficiaries should be specified.

4

What is the tax treatment of the income of the private religious trusts and public religious trusts?

Ans.

The income of the wholly religious trusts shall be exempt from income tax. The income of a private religious trust not ensuring to the benefit of the public at large shall be taxable.

5

What is the distinction between a public trust and a private trust?

Ans.

In a public trust the beneficial endowments vests in a fluctuating body of the persons -either the public at large or some considerable portion of it answering a particular description. On the other hand, in a private endowment the beneficiaries are definite and ascertained individuals.

 

STEP 1

Fill in the blank spaces. Delete instructions highlighted in grey.

Fill in the blank spaces. Delete instructions highlighted in grey. E.g. Name, address, date etc.

 

 

 

STEP 2

Alternations: 

Add or delete a clause according to your needs. Re-check the document.

 

 

 

STEP 3

Stamp Paper

The Stamp Duty value will be made available to you at your legaljini account on purchase of the document.

 

Stamp Duty Payment option 1

If you wish to print Agreement on Stamp Paper, you can buy from court/ Stamp office and said Stamp paper will be used as 1st page of Agreement. If you wish to have 2 copies of Agreement you should buy 2 Stamp Papers (one Stamp Paper for each copy)

 

Stamp Duty Payment option 2

If you have facility of franking for Stamp Duty payment at nearest bank, you need to print the Agreement & get franking done. If you wish to have 2 copies of Agreement you should frank 2 copies (one copy for each party)

 

 

 

 

Ledger Paper

The rest of the document must be printed on SINGLE SIDES OF A SHEET of Ledger Paper

 

Available at:

This Legal Size Green Paper is available at any stationery shop.

 

 

 

STEP 4

Printing on Legal Paper:

 

 

On Stamp Paper

Print ONLY on the blank portion of the stamp paper.

 

On Ledger Paper

Print on a SINGLE SIDE of a sheet of Ledger Paper.

 

 

 

STEP 5

Number of Copies Needed:

Generally it is made two copies (one copy for each party)

 

 

 

STEP 6

Photographs & Signatures/ Thumb Impression & Initials:

The concerned parties should sign, or affix their mark and recent passport size photograph against their names on the last page of the document. This document must initialed or marked by the concerned parties at the end of every page. In addition or corrections/ alterations made after printing must be initialed.

 

 

 

STEP 7

Witness Attestation (Both Parties):

This document must be attested by at least two witnesses from both sides.

 

 

 

STEP 8

Attached Documents:

An Affidavit and a Consent letter.

 

 

 

STEP 9

Registration/ Notary

Registration or Notary is mandatory for some documents. If you need clarification you may contact our Helpline at support@legaljini.com 

 

 

 

You Need to Know:

N.A.

 

 

 

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