The Commissioner, on receipt of an application for registration of trust shall within the expiry of six months from the end of the month in which application was received for registration shall move along with in the under listed manner :
ii. Pass an order in writing refusing registration of trust or institution, if he is not so satisfied by the documents submitted to him by the trust.
iii. Give the applicant a reasonable opportunity of being heard in case (ii).
iv. Sent a copy of such order to the applicant.
If after granting registration subsequently the commissioner is satisfied that the activities of such trust or institution are not genuine or are not being carried out non-parallel in relation to its objects, then he may pass an order in writing, cancelling the registration of trust or institution, after giving such trust or institution a justifiable opportunity of being heard.
A legal arrangement in which an individual (the author) gives fiduciary control of property to a person or institution i.e, the trustee(s) for the benefit of beneficiaries. Except where state legislation exists to regulate trusts, trusts are regulated by the provisions of the Indian Trust Act 1882.Every NGO (trust, society or nonprofit company) is required to get registered with income tax department under income tax act 1961 in order to claim tax exemption for their income.
Every NGO should apply for registration from the date of its establishment and get 12A certificate from income tax department. This 12A certificate is known as registration certificate.
CREATION OF TRUSTS:
A trust is created when the author of the trust indicates with reasonable certainty by any words or acts .