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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

1 month ago

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Vivek Tanwar

Founder/Director, Law Offices of Kr. Vivek Tanwar Advocate & Associates.
Exp
Gurgaon , Haryana

Specialization

  • Criminal
  • Arbitration and Mediation
  • Banking
  • Bankruptcy And Debt
  • Contracts And Agreements
Graduated from MDU, Rohtak, in B.A.LLB. (Hons). Started legal practice in 2000. Appointed as the SPECIAL PUBLIC PROSECUTOR by the Govt. of Haryana, having an excellent record in conducting heinous criminal cases. Member of NPAC & ICABA. A qualified professional conducting successful arbitration. View Full Profile
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Yogesh Anand

Lawyer
Exp
Gurgaon , Haryana

Specialization

  • Family
  • Criminal
  • Civil
Family Cases Handled with positive results. Commercial cases Success rate is outstandingly excellent. Value for money. Work for free if poor. View Full Profile
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Rishabh Kamal

Independent Advocate
Exp
Gurgaon , Haryana

Specialization

  • Criminal
  • Employment And Labour
  • Property
  • Power Of Attorney
  • Will
I am a 2013 graduate from one of the national law universities of India. I have dealt in criminal cases, civil cases, service matters. From 2019, i have started my independent practice. View Full Profile
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Hemant kumar

advocate
Exp
Gurgaon , Haryana

Specialization

  • Criminal
  • Landlord And Tenant
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Vivek Arya

Advocate
Exp
Gurgaon , Haryana

Specialization

  • Criminal
  • Cheque Bounce
  • Administrative Law
  • Arbitration And Mediation
  • Partnership
I am a practicing advocate registered at Bar Council of Punjab & Haryana. I practice in Family Courts, Labour Courts, NCLTs, Consumer Courts, Tribunals, City Civil & Sessions Courts, Punjab & Haryana High Court. I practice criminal law and also handle matters related to IPC, Domestic Violence. View Full Profile
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Jaswan Singh Katariya

Advocate
Exp
Gurgaon , Haryana

Specialization

  • Civil
  • Contracts And Agreements
  • Documentation
  • Debt Collection
  • Insurance
Advocate Jaswant Singh Katariya (MBA, BBA, LL.B) is a Gurugram based lawyer practising law since 2017, holding extensive experience in working in the most complex areas of Civil Cases, Consumer Protection, Cheque Bounce, Property Real Estate Law, Family Matters, GST Registration and Return & RERA. View Full Profile
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Vijay Raj Mahajan

Advocate
Exp
Gurgaon , Haryana

Specialization

  • Divorce
  • Power Of Attorney
  • Partnership
  • Torts
Member of Delhi Bar Council since 1983, working as advocate in DelhiNCR, expert in Family matters, divorce, child custody, guardianship, maintenance, alimony, NRI related legal matters, property and inheritance, appearance in all Courts in India. View Full Profile
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Dr sudhir Kumar Vashisth

VP
Exp
Gurgaon , Haryana

Specialization

  • Administrative Law
15 Years Professional Experience in the field of HR & IR with Legal Expertise in Factory and other related Act, 6 Years Experience in Divisional Court Gurgaon - for Criminal and others matters View Full Profile
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Rahul Tyagi

Advocate
Exp
Gurgaon , Haryana

Specialization

  • Documentation
  • Debt Collection
  • Civil
  • Corporate and Incorporation
  • Criminal
Advocate & Legal Consultants... View Full Profile
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Manish Shandilya

Advocate/Legal Advisor
Exp
Gurgaon , Haryana

Specialization

  • Financial Markets And Services
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