Trust Registration in Raipur

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Practice Index (10 Sections)

Practice Overview & Verification

Trust Registration in Raipur — Statutory Scope

Chartered Accountancy advisory and audit services in Raipur, Chhattisgarh & Kalahandi, Odisha. Direct partner supervision ensuring full compliance with ICAI standards and applicable statutes.

Setting up a charitable trust involves two separate exercises that are often confused with each other. The first creates the trust and registers it under state law. The second obtains its tax status — the registration that makes its income exempt, and the approval that lets donors claim a deduction.

Neither follows automatically from the other. A trust properly created and registered with the Registrar can still be fully taxable if the tax registration was never obtained or has lapsed. And the tax framework changed substantially on 1 April 2026, with new terminology, new section numbers and new forms.

We set up charitable and religious trusts in Raipur and across Chhattisgarh, and handle both stages.

⚙️ Step-by-Step Procedure & Workflow

Step one — creating the trust

A trust is created by a trust deed, executed by the settlor and accepted by the trustees. It requires a settlor who dedicates property to the trust, at least two trustees, identified trust property — which may be a modest initial sum — and objects that are genuinely charitable or religious.

Public or private. A public charitable trust benefits the general public or a section of it, and is the form used for schools, hospitals, temples and charitable work generally. A private trust benefits identified individuals or a family, is governed by the Indian Trusts Act, and does not attract the exemptions discussed below. Which is being created should be settled at the outset, because the deed is drafted differently for each.

Registration in Chhattisgarh. Public trusts in the state are governed by the public trusts legislation of 1951, inherited on reorganisation and applied as Chhattisgarh law. It provides for a Registrar of Public Trusts at district level — in Raipur, an office held by the Sub-Divisional Officer — with whom a public trust is registered and by whom the Register of Public Trusts is maintained. The deed itself is executed on stamp paper of the value the state prescribes and registered with the Sub-Registrar having jurisdiction over the trust's address.

This district-level structure is worth knowing at the outset, because it means registration is a local process with a local officer, and because subsequent changes — a change of trustees, of address, or of trust property — are recorded with the same office rather than centrally.

📋 Document Checklist & Verification

Documents required

✓Trust deed on stamp paper, signed by the settlor on every page
✓Identity and address proof for the settlor and every trustee, with photographs
✓PAN of the settlor and trustees
✓Proof of the trust's registered address — utility bill, and where the premises are not owned, a rent agreement and no-objection certificate from the owner
✓Details of the initial trust property
✓The deed is the trust's constitution and should be drafted, not adapted. It governs how trustees are appointed and removed, what happens on a trustee's death or resignation, who may operate bank accounts, whether the objects can be amended and how, and what becomes of the property if the trust is wound up. A template that covers the objects and little else creates problems that surface years later — most commonly when a founding trustee dies and the deed says nothing about succession.
✓The objects clause deserves particular care. Tax registration is granted by reference to the objects, and objects drawn too widely, or including anything that is not charitable, can cause the application to be refused or the registration later questioned.

⚙️ Step-by-Step Procedure & Workflow

Step two — tax registration, which changed this year

Creating the trust does not make it tax-exempt. That requires separate registration with the income tax authorities, and separate approval if donors are to claim a deduction.

Income Tax Exemptions under Section 12AB & 80G. Creating and registering a trust deed with the Sub-Registrar / Registrar of Public Trusts gives the trust legal existence, but zero tax exemption. To obtain full exemption on voluntary donations and institutional income, the trust must apply for registration under Section 12AB of the Income-tax Act, 1961 and obtain donor-deduction approval under Section 80G.

Statutory Forms: Form 10A, Form 10AB & Form 10BD. Provisional registration (valid 3 years) is applied for in Form 10A. Regular 5-year registration and subsequent renewals are applied for in Form 10AB. Annual donation statements are filed in Form 10BD with donor certificates in Form 10BE by 31st May.

How the two stages work. A new trust ordinarily obtains provisional registration first, which runs for three years. Before it expires, an application is made for regular registration, which runs for five years — extended to ten years for organisations whose income did not exceed ₹5 crore in each of the two preceding years. Renewal is then required before each expiry.

Registration is no longer perpetual. This is the single most important change of recent years for existing trusts, and it is still not widely understood. A registration granted decades ago and never renewed is not simply dormant — it has expired.

The point every existing trust should check now

An organisation holding a valid registration on 1 April 2026 was carried into the new framework automatically. It need do nothing immediately; the registration runs to its existing expiry and is then renewed under the new provisions, with the application made in advance rather than after.

An organisation whose registration had already lapsed before that date was not carried over. It must make a fresh application, and its income for the intervening period is taxable under the ordinary provisions rather than exempt.

The difficulty is that a lapse is often invisible. Trustees hold a certificate, the trust has always been treated as exempt, and nothing has obviously changed. We check this first for any trust that comes to us, and it is worth checking for a trust that does not.

Failure to apply within the prescribed time limits — on conversion of provisional registration, on renewal, or on a change of objects — can, if not condoned, attract tax on the organisation's accumulated assets rather than merely on a year's income. The consequence of missing a renewal is therefore out of proportion to the administrative effort of making one.

Trust, society or Section 8 company?

All three can carry on charitable work and all three can obtain the same tax registrations. They differ in how they are governed and how much compliance they carry.

A trust is governed by its deed and managed by trustees, who are typically self-perpetuating. It is the simplest to form and to run, and it suits a founder or family wanting settled control and a long horizon — a school, a temple, an endowment.

A society is governed by its memorandum and rules and managed by a committee elected by its members. It suits an organisation with a genuine membership that expects a voice, and it carries an annual filing obligation with the state registrar.

A Section 8 company is governed by the Companies Act, with directors, board meetings, statutory audit and annual filings. It is the most demanding to run and the most credible to institutional funders, which is why it is increasingly chosen by organisations seeking corporate social responsibility funding or foreign contributions.

Governance is usually the deciding question rather than cost. A trust concentrates control; a society disperses it; a company formalises it. We work through which fits the founders' actual intentions before anything is drafted.

Public Charitable Trust vs Society vs Section 8 Company in Chhattisgarh

Parameter	Public Charitable Trust	Society (CG Societies Act 1973)	Section 8 Company (Companies Act 2013)
Governing Statute	Indian Trusts Act 1882 / CG Public Trusts Act 1951	Chhattisgarh Societies Registration Act, 1973	Companies Act, 2013
Registration Authority	Sub-Registrar (Deed) & Registrar of Public Trusts (SDM)	Registrar of Societies, Indrawati Bhawan, Raipur	Central Registration Centre (CRC) / ROC Bilaspur
Minimum Founders / Promoters	Minimum 2 Trustees (Settlor + 1 Trustee)	Minimum 7 Members in Governing Body	Minimum 2 Directors & 2 Shareholders
Governance Mechanism	Managed by permanent Board of Trustees per Trust Deed	Democratic election by general body of members	Board of Directors governed by Articles of Association
Income Tax Status (Sec 11/12)	Exempt under Section 12AB (Form 10A / 10AB)	Exempt under Section 12AB (Form 10A / 10AB)	Exempt under Section 12AB (Form 10A / 10AB)
Donor Deductions (Sec 80G)	Eligible under Section 80G (50% deduction)	Eligible under Section 80G (50% deduction)	Eligible under Section 80G (50% deduction)
Institutional & CSR Preference	Moderate (Favored for family / temple trusts)	Moderate (Favored for community & sports associations)	Highest (Gold standard for CSR grants & institutional funding)

Parameter: Governing Statute

Public Charitable Trust: Indian Trusts Act 1882 / CG Public Trusts Act 1951

Society (CG Societies Act 1973): Chhattisgarh Societies Registration Act, 1973

Section 8 Company (Companies Act 2013): Companies Act, 2013

Parameter: Registration Authority

Public Charitable Trust: Sub-Registrar (Deed) & Registrar of Public Trusts (SDM)

Society (CG Societies Act 1973): Registrar of Societies, Indrawati Bhawan, Raipur

Section 8 Company (Companies Act 2013): Central Registration Centre (CRC) / ROC Bilaspur

Parameter: Minimum Founders / Promoters

Public Charitable Trust: Minimum 2 Trustees (Settlor + 1 Trustee)

Society (CG Societies Act 1973): Minimum 7 Members in Governing Body

Section 8 Company (Companies Act 2013): Minimum 2 Directors & 2 Shareholders

Parameter: Governance Mechanism

Public Charitable Trust: Managed by permanent Board of Trustees per Trust Deed

Society (CG Societies Act 1973): Democratic election by general body of members

Section 8 Company (Companies Act 2013): Board of Directors governed by Articles of Association

Parameter: Income Tax Status (Sec 11/12)

Public Charitable Trust: Exempt under Section 12AB (Form 10A / 10AB)

Society (CG Societies Act 1973): Exempt under Section 12AB (Form 10A / 10AB)

Section 8 Company (Companies Act 2013): Exempt under Section 12AB (Form 10A / 10AB)

Parameter: Donor Deductions (Sec 80G)

Public Charitable Trust: Eligible under Section 80G (50% deduction)

Society (CG Societies Act 1973): Eligible under Section 80G (50% deduction)

Section 8 Company (Companies Act 2013): Eligible under Section 80G (50% deduction)

Parameter: Institutional & CSR Preference

Public Charitable Trust: Moderate (Favored for family / temple trusts)

Society (CG Societies Act 1973): Moderate (Favored for community & sports associations)

Section 8 Company (Companies Act 2013): Highest (Gold standard for CSR grants & institutional funding)

After registration

The exemption is earned annually, not held permanently. A registered organisation must apply at least 85 per cent of its income to charitable purposes each year, invest only in permitted modes, avoid benefit to trustees and specified persons, obtain an audit, report donations, and file a return — even where no tax is payable. Failure to file for three consecutive years can lead to cancellation.

These obligations are dealt with on our Trust, Society and NGO Audit page, and we handle them for the trusts we set up.

Scope of our work

We advise on whether a trust, a society or a Section 8 company fits the founders' intentions; draft the trust deed to the actual arrangement, with particular attention to the objects clause and to succession; arrange execution, stamping and registration with the Sub-Registrar and the Registrar of Public Trusts; obtain PAN and open the trust's bank account; apply for provisional and regular tax registration and for donor-deduction approval; track renewal dates and apply in advance of expiry; and, for existing trusts, establish whether the registration is current and what must be done if it is not.

📍 Pandri, Raipur Practice Headquarters

Consult CA in Raipur for Trust Registration in Raipur

Visit our Head Office at GF-28, Shyam Plaza, Pandri, Raipur or connect directly with our Chartered Accountant partners for end-to-end advisory and statutory compliance.

🏛️ CA in Raipur Hub →📞 +91 86978 14116

Where is a trust registered in Raipur?

Two offices are involved. The trust deed is executed on stamp paper and registered with the Sub-Registrar having jurisdiction over the trust's address. A public charitable or religious trust is additionally registered with the Registrar of Public Trusts for the district, an office held in Raipur by the Sub-Divisional Officer, who maintains the Register of Public Trusts. Later changes — of trustees, address or property — are recorded with the same office.

Does registering the trust make it tax-exempt?

No, and this is the most common misunderstanding. Creating and registering the trust gives it legal existence. Exemption requires a separate registration with the income tax authorities under Section 12AB of the Income-tax Act, 1961, and donors can claim deduction only if separate approval under Section 80G is obtained. A properly constituted trust without Section 12AB is fully taxable.

How long does tax registration last?

It is no longer perpetual. Provisional registration runs for three years; regular registration for five, extended to ten where the organisation's income did not exceed ₹5 crore in each of the two preceding years. Renewal must be applied for before expiry. A registration granted years ago and never renewed has not merely gone quiet — it has expired, and the trust's income for the period since is taxable in the ordinary way.

Our trust has been registered since the 1990s. Do we need to do anything?

Check whether the registration is currently valid, and check it now. If it was valid on 1 April 2026, the trust was carried into the new framework automatically and simply renews before its existing expiry. If it had already lapsed before that date, it was not carried over — a fresh application is required and the income for the intervening period is taxable. A lapse is frequently invisible from the trust's own papers, which is why it is worth establishing rather than assuming.

What forms are used now?

Provisional registration (valid 3 years) is applied for in Form 10A, and regular 5-year registration or renewal is applied for in Form 10AB under Section 12AB and Section 80G of the Income-tax Act, 1961. Annual donation statements must be filed in Form 10BD by 31st May.

How many trustees do we need?

At least two. There is no statutory maximum, and no minimum value for the initial trust property, though a nominal sum is usually settled at the outset. What matters more than the number is what the deed says about how trustees are appointed, removed and replaced — a deed silent on succession causes real difficulty when a founding trustee dies.

Should we form a trust, a society or a Section 8 company?

It depends on how the organisation should be governed rather than on cost. A trust concentrates control in trustees and suits a founder or family with a long horizon. A society disperses control to an elected committee and suits a genuine membership body. A Section 8 company formalises governance with directors, audit and annual filings, and is generally the most credible to institutional and corporate funders. All three can obtain the same tax registrations.

Can a trust receive CSR funding from a company?

Yes, provided its registrations are current — and companies making such contributions check. Raipur's industrial base generates substantial corporate social responsibility expenditure, and the funding companies require the recipient to hold valid registrations and to account for the funds against the sanctioned purpose before releasing further amounts. A trust whose registration has lapsed generally finds funding stops without much warning.

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