Charitable Trust Tax and Annual Compliance Guide
Plan books, tax approvals, donor reporting, trustee records and funding compliance.
Plan books, tax approvals, donor reporting, trustee records and funding compliance. Use the sections below to understand the practical decisions, records and compliance points before taking action.
Entity formation is not tax exemption
Trust deed registration and charitable tax registration are separate. Fresh applications follow the current Income Tax Act and form framework.
Maintain trustee decisions and books
Record trustee meetings, resolutions, receipts, donations, grants, programme spending, assets, liabilities and bank reconciliation.
Track approval conditions
Charitable registration, donor deduction, audit, return and donation reporting have separate conditions and dates.
Keep restricted funds controlled
Link grants and donations to their lawful purpose and preserve agreements, receipts, vouchers and utilisation evidence.
Assess Darpan, CSR-1 and FCRA separately
Each framework serves a different purpose. Foreign contribution requires valid FCRA registration or prior permission before receipt or use.
Review property and governance changes
Trustee, office, deed, property and bank changes may need resolutions, registration, authority notice or tax updates depending on the facts.
Official References
Rules and portal requirements can change. Review the current official material relevant to the proposed company.
This article provides general information and is not a substitute for legal, tax or investment advice. Applicability should be reviewed for the proposed entity and current law.