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How is an NGO, a Trust and a Foundation Different?

From a legal standpoint, there is hardly any difference. An NGO or a Foundation cannot be registered. The legal viewpoint is that an NGO has one of three entities; its either a Public Trust or a Society or a not-for-profit organization or foundation. Under the Income Tax Act, all 3 entities are tax-exempt entities.Both trust and society alike are two types of a non-profit or non-government organization in India. Therefore if anyone intends on doing social work and for this purpose needs a legal entity, then either a trust or a society can be registered. One can also register a company under section 25 but in most cases, a registered is a norm or society for benevolent work.Trust is a comparatively simpler entity and can be easily registered and operated. Such organizations are fundamentally rooted in trust. Donations are purely based on trust that the donated funds would be fully utilized to serve the purpose mentioned in one’s trust deed. Trustees do not owe any explanation to anyone other than the Charity Commissioner and the applicable laws. Any tax breaks u/s 80g and 12a can be revoked if trustees do not abide by the rules, laws, and regulations of the Income Tax department. Analyzing NGO Registration people seem to think that even with lack of funds if NGO registration is done then their goals and objectives can be attained. Truth is as quickly as some NGOs are being registered they are also winding up quickly or even leaving it in the middle. If NGOs are registered with the intention or mindset of obtaining external grants and donations then such NGOs would not be sustainable in the long run. A company donating a chunk of funds to charity on a regular basis, then in such cases an NGO can be registered with enhanced sustainability planning.  In India, there are many registered NGOs only on paper and only about a little over half of NGOs are actually working for the betterment of society. NGOs can be formed in no time at all. However, when project funds from local government schemes or contributions from foreign countries are on hold indefinitely then the entire NGO comes to a screeching halt. Rather than looking for easier options for forming an NGO, for NGO registration its imperative to analyze the actual requirement and the strength to form, manage and maintain such NGO is far more important.Call 7604047601 for consultation with a registered expert Trust and Society NGO lawyers on Vidhikarya.

Posted By

Avik Chakravorty

4 weeks ago

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Why is RTI Amendment Bill So Controversial?

Although the Lok Sabha has passed and ratified The Right to Information Amendment Bill 2019 the Opposition is dead against it. Invectives like ‘dangerous’ and ‘dark day for democracy’ have been hurled against the bill. Changes have been suggested in regard to the terms and conditions of appointment of information commissioners at the center and state levels. The three provisions of the RTI amendment bill have been challenged by the members of Opposition in Parliament and by protesters in the field.Nonetheless, prior to going forward, the basic things that the RTI Act of 2005 does is based on the existing law which says that the public authorities are required to disclose on·        their organization, functions, and structure·        rights and duties of its officers and employees·        financial dataIf the public authorities do not provide the required information of their own volition, then, in that case, its citizen’s right to demand it from them based on the RTI Act. "Public authorities" refer to ministers and government servants among others.The head of the central information commission is the chief information commissioner and other information commissioners appointed by none other than the President representing the Central Government for a fixed term of five years with the salary of the chief election commissioner’s, as well as the election commissioner's salary respectively. The intent and purpose of this initiative were granting autonomous powers to the central information commission as well as provide protection from government surveillance. The amendments ` ` ` `The RTI amendment bill of 2019, excludes the five years tenure of the chief information commissioners and the information commissioners. The payouts on account of salary have been revised. Separate notifications will be sent by the government to both. Politically, what this means is that the government can and will pose a threat or entice the chief information commissioner and information commissioners with random removal or extension and curtailment or increase in salary depending upon their suitability for the ruling dispensation.Call 7604047601 for consultation with a registered expert right to information lawyer on Vidhikarya.

Posted By

Avik Chakravorty

4 weeks ago

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Kishan Dutt Kalaskar Retired Judge

Retired Judge
Exp
Bangalore , Karnataka

Specialization

  • Civil
  • Criminal
  • Cheque Bounce
  • Divorce
  • Domestic Violence
Retired Judge 20 years service as Judge in different capacities. Read and prepared Head Notes for more than 10,000 judgments of different High Courts and Supreme Court. Head Notes published by various Law Publishers. Now preparing Head notes for www.scconline.com. Worked in different capacities an View Full Profile
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Prabhakara S K Shetty

Advocate
Exp
Bangalore , Karnataka

Specialization

  • Family
  • Financial Markets And Services
I started practice in Bangalore in year 2000. Handled over 400 cases out of which about 80 cases in High Court of Karnataka writs, civil and criminal petitions, appeals, Public Interest Litigations, KAT and CAR , Lokayukta cases , property , matrimonial matters etc., View Full Profile
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Tabassum Sultana

Advocate
Exp
Bangalore , Karnataka

Specialization

  • Divorce
  • Domestic Violence
  • Child Custody
  • Criminal
  • Cheque Bounce
Advocate with experience in Divorce Cases, Child Custody, Domestic Violence, Registration of Marriages, Criminal Law (Regular and Anticipatory Bail), Cheque Bounce Cases, Drafting of all kinds of Agreements and Legal Notices, Muslim Laws.. View Full Profile
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anil reddy s

Proprietor
Exp
Bangalore , Karnataka

Specialization

  • Property
  • Advertising
  • Debt And Lending Agreement
  • Environment And Natural Resources
  • Landlord And Tenant
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kiran murthy

advocate & property consultant
Exp
Bangalore , Karnataka

Specialization

  • Property
I manage a Law Firm which goes by the name of Murthy Associates, i am its proprietor, I have been dealing exclusively with property related cases, both civil and criminal, I provide comprehensive legal opinion, assistance with drafting sale agreement and registration process. View Full Profile
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harish M

BAL LLB
Exp
Bangalore , Karnataka

Specialization

  • Corporate and Incorporation
  • Intellectual Property, Copyright, Patent, Trademar
  • Cyber, Internet, Information Technology
  • Divorce
  • Property
I have been practicing since 2001, my father is also an advocate and I practiced under his guideline and I do independent practice at Bangalore, I am extremely competent in corporate Law, intellectual property, Cyber law, Property verification and Family and divorcee case. View Full Profile
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Precinct Legal

Partner
Exp
Bangalore , Karnataka

Specialization

  • Bankruptcy and Debt
  • Civil
  • Cheque Bounce
  • Contracts and Agreements
  • Corporate and Incorporation
Precinct Legal is a full service law firm based out of Bangalore catering to all the legal needs, be it litigation or corporate. View Full Profile
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Anil Kumar

Advocate
Exp
Bangalore , Karnataka

Specialization

  • Civil
  • Criminal
  • Divorce
  • Will
  • Motor Accident
PRACTICE AREAS 6 years Experience.Anticipatory Bail, Arbitration, Breach of Contract, Cheque Bounce, Civil, Criminal, Divorce, Documentation, Domestic Violence, Family, Property,Language(s) Spoken: English, Hindi, Kannada,Telugu, Tamil. View Full Profile
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Jayashree Hariharan

SENIOR ADVOCATE
Exp
Bangalore , Karnataka

Specialization

  • Civil
  • Child Custody
  • Property
  • Software License
Expertise in all type civil matters View Full Profile
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Sandeep Hegde

Advocate & Legal Consultant
Exp
Bangalore , Karnataka

Specialization

  • Divorce
  • Corporate and Incorporation
  • Contracts and Agreements
  • Criminal
  • Outsourcing Agreement/Laws
We are multi-facet law firm having expertise & specialization in family law, Divorce laws, etc. We also provide corporate consulting which include contract drafting, reviews, Negotiation, etc. We help companies in developing business model in compliance with regulation. View Full Profile
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