TASC – Trusts, Associations, Societies, Clubs September 03, 2011
TASC – Trusts, Associations, Societies, Clubs
September 03, 2011
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Lest you forget
The contents of presentation is for information and does not supersede any of the e-circular or views of Control Groups – Legal / Compliance
For all clarifications on documentation, please refer e-circular no.7495 or any other circular as prevailing from time to time
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Agenda
TASC Segment - Overview
Products
Segments and Documentation
Channel / Products
FAQ
Precautions
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TASC Segment - Overview Trusts (Education, Medical, Religious, Charitable) Association -(Chamber of Commerce,Trade, Sports) Societies-(Urban Coop, Primary Agri, Housing, Non
credit) Clubs -(Lions, Jaycees, Sports) Sec. 25 Companies (Non profit) Autonomous Bodies (AICTE, Universities, IIM, IIT) Disaster Relief Funds (Central, State, Private) Judicial authorities (Tribunals, Court, Official
liquidator) Defence (Canteen Store Depot, Unit Run Canteens,
Regimental Funds)
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Products (Major)Fixed Deposits / Recurring Deposits
Money Multiplier Fixed Deposits
Special Savings Account
Current Accounts
Constituent Subsidiary General Ledger (CSGL)
Fee Management Services
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Fixed Deposits / Recurring Deposits Account Opening Form - Series 340 KYC documents as per circular no.7495 Traditional FD - Monthly and quarterly payout Cumulative FD – Quarterly compounded
(minimum period 6 months and not 181 days, maximum period 10 years)
Deals of Rs.1crore and above Deal needs to be entered and approved in ODBS Link http://10.16.168.136/ODBS/Forms/login.aspx Deal Cannot be entered after value date Even deals done at card rate need to be entered
in ODBS No special rates for FD below 1 Crore
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Money Multiplier – Fixed Deposits Offered with Special Savings Account AOF – Money Multiplier FD form Existing FD can also be linked Cumulative FD in multiple of Rs.5 K created
subject to minimum balance in SSA to be Rs.25 K Automatic reverse sweep on LIFO (Last in first
out) basis in case of need of funding in SSA Minimum FD period of 1 year FD at card rate only Special rate fd including 390,590 days etc cannot
be linked
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TDS on Fixed Deposits Entities exempt from provisions of TDS,
List of such entities is covered in FAQ 7 circular 7495
Documentation mentioned in FAQ 7 circular 7495
TDS exemption document for trusts, societies etc. Once FD is opened customer applies to IT with
details of the FD Customer submits Certificate U/s.197 issued by
IT to avail exemption from TDS on interest u/s 194A
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Special Savings Account (SSA) Product Features
– AOF to be used - Series 340– List of entities eligible to open SSA as per
Master Circular of RBI on Deposits– Account opening and modifications at RPC
• If FCRA is to be facilitated, the AOF need to be sent to Mumbai RPC for a/c opening
• Subsequent modifications in FCRA can be done at local RPC
– Money Multiplier (linked FD can be offered)
– For Product features - Circular No.8323 – For KYC documents - Circular No.7495
No SSA should be opened with interest flag as NIL
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Prohibition to Open SSA
List of entities prohibited to open Savings Account as per RBI Guidelines
a) Government departments/bodies depending upon budgetary allocation for performance of their functions
b) Municipal Corporations or Municipal Committees
c) Panchayat Samiti
d) State Housing Boards
e) Water and Sewerage / Drainage Boards / Metropolitan Development Authority / State / State Text Book Publishing Corporations / Societies / District Level Housing Co-op. Societies etc.
e) Any political party or trading or business concern, whether such concern is a proprietary or a partnership firm or a company or an association.
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Entities Allowed to open SSA by RBIThe prohibition to open savings as given earlier does not apply to the following
Primary Co-operative Credit Society, which is being financed by the bank.
Khadi and Village Industries Boards
Agriculture Produce Market Committees
Societies registered under the Societies Registration Act, 1860 or any other corresponding law in force in State or a Union Territory except societies registered under the State Co-operative Societies Act and specific state enactment creating Land Mortgage Banks.
Companies governed by the Companies Act, 1956 which have been Licensed by the Central Government under Section 25 of the said Act, or under the corresponding provision in the Indian Companies Act, 1913 and does not add to their names words ‘Limited’ or ‘Private Limited’
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Entities Allowed to open SSA by RBI..2 Institutions whose entire income is exempt from payment of Income tax under the Income-Tax Act, 1961
Government departments /bodies/agencies in respect of grants/ subsidies released for implementation of various programs / schemes sponsored by Central/State Government subject to production of an authorization from the respective Government departments to open savings bank account
Development of Women and Children in Rural Areas (DWCRA)
Self-help Groups (SHGs), registered or unregistered
Note – Form 225 for opening Savings Account is to be used and accounts of SHG are not opened by TASC team.
Farmers’ Clubs
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Proof of I T Exemption....1Type of entity Document
Society registered under Societies Registration Act or any other corresponding law in force in State or a Union Territory.
Registration Certificate
Primary Co-operative Credit Society Registration Certificate
TrustsI) 12 AA registration certificate issued by Income Tax
ii) Copy of nil returns
Iii) Annexure XVII declaration
Section 25 Cos. Registration Certificate
Khadi and Village Industries Boards Registration Certificate
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Proof of I.T. Exemption ….2
Provident fund to which the Provident Funds Act, 1925 applies
Letter on the letterhead from the provident fund that it is exempt u/s 10 (25)(i)
Recognized provident fund
Recognition certificate from income-tax authorities
Approved superannuation fund Approval copy from
income-tax authorities
Approved gratuity fund
Approval copy from income-tax authorities
Regimental Fund or Non-public Fund established by the armed forces of the Union under section 10(23AA)
Refer to documentation as per circular 7495 FAQ 6
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Current Account TASC customers not eligible for SSA can open
RCAM2O
For FCRA enabled accounts, only M2O with Zero balance to be offered
Ivy a/c cannot be offered to TASC customersFor M2O, online calculator to be filled on
http://10.16.218.166/billingmodule/Forms/login.aspx
Modification done by COPS Product Circular
For RCA No.2079 / M2O No.2955 AOF to be used Series 340 KYC doc as per circular no. 7495
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Made2Order (M2O) Calculator Path for LAM request to create idhttp://lam.icicibankltd.com/LA_RequestForms.aspx
Path for downloading M2O calculatorUniverse> Business Group>WBG>Applications>
Calculators>Made2Order Current A/c for Open Office
Path for logging into online M2O module to upload
the calculatorhttp://10.16.218.166/billingmodule/forms/login.aspx
Approved Schedule of Charges (pdf format) needs to be downloaded and signed by customer
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CSGL – A concept It is a Demat account to park Central and State
Govt loans and treasury bills Used by Banks and PF/Pension/Gratuity trust to
park investments as per regulatory guidelines Who can open CSGL account
– PF / Banks / Corporate / Financial Institutions / Companies / NBFC / Trust / Societies / Individuals
Clients can undertake following activities– Maintain stock of Govt Securities / treasury bills– Purchase– Sale – Participate in non competitive bid for auction– Receive interest and redemption proceeds of
matured securities
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Settlement Trading takes place on Negotiated Dealing
System (NDS) managed by Clearing Corporation of India Ltd.
Trade happens on Delivery V/s Payment System
– Client submits deal slip to branch in original and faxes same to COG SMS in Hyderabad
– COG SMS blocks funds in account (purchase) or verifies availability of stock (sale)
– Enters deal on NDS which is confirmed by counterparty's bank
– Deal is settled by CCIL by debiting crediting settlement bank account with RBI and delivery of securities.
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Documentation Documents to be obtained
– Account opening form– Accepted offer letter– Board Resolution– Copy of PAN card– Specimen Signature of authorized
signatories– Stamped CSGL agreement
The original documents to be submitted to CMOG along with
– Client set up memo
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Activating Relationship
Opening of CSGL Account– CMOG vets doc and informs COG
SMS – COG SMS opens CSGL a/c and informs
no to BM/SM Precautions
– The client must have designated operative account (SSA/CA) for settlement
– Any concessional tariff to be approved by AGM or above
– Signatories in operative account and CSGL account should be same
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Account servicing
A client can have only one CSGL account Account can be transferred from one bank
to other Please refer Circular no.8198 for
– Change of signatories / MOP– Transfer of account from other bank
MIS– Fortnightly in case of transactions– Quarterly in case of no transactions– Balance confirmation statement are
obtained on half yearly basis
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Fee Management Services
Product features– Offered to Colleges / Schools /
Universities / Management Institutes / Deemed Universities
– Operative account opened with ICICI Bank branch
– Specially designed pay slips are used– Unique 6 digit alpha code is issued– An agreement is entered between
Bank and Institute– Regular MIS is sent to registered mail
ID of institute
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Channel for payment
Mode of payment– Deposit of cash in branch along with
triplicate challan– Deposit of cheque in branch / ATM
drop box along with triplicate slip– Capture data on web page of client
entity and make payment through cash/cheque or through payment gateway
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MIS – Options
A pop up can be developed in predetermined format in operative account
Data is captured at the time of accepting cash or cheque
Statement is sent to client entity at EOD through mail
Funds can also be collected through office pool account 0036.slfeecol
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MIS – Pattern for Education Institute Institute name (6 digit Alpha) Student name (15 digit Alpha) Roll No. (9 numeric) Section / course (4 Alphanumeric) Class / year (6 Alphanumeric)
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MIS – Pattern for Charitable Trust Institute name (6 digit Alpha) Name of donor (18 digit Alpha) Pan No. (10 Alphanumeric) Donation type (6 Alphanumeric)
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MIS – Pattern for Clubs
Institute name (6 digit Alpha) Name of member (16 digit Alpha) Membership No. (9 Alphanumeric) Type of membership (6 Alphanumeric) Month / Year (6 Alphanumeric)
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MIS – Pattern for Association
Institute name (6 digit Alpha) Name of Member(17 digit Alpha) Membership no. (6 Alphanumeric) Type of Member (6 Alpha) Other details (5 Alphanumeric)
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MIS – Pattern for Housing Society Institute name (6 digit Alpha) Flat No. (4 digit Alphanumeric) Wing No. (1 Alphanumeric) Month (2 Alphanumeric) Maintenance (5 Numeric) Property tax (4 Numeric)
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TASC SegmentTrusts
Societies
Associations
Clubs
Entities with permission under FCRA
Defence
Other entities
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Trusts – (Constitution Code R 5) Charitable and Religious Trusts
Public Trusts, Temples, Churches, Muslim Wakfs, Gurudwara, Mosques, Yoga Ashram
Employee Welfare Trust Provident Funds, Gratuity Funds,
Superannuation Funds, Pension Funds
Educational Trusts Schools, Colleges, Universities, Boards,
Management Institutes
Private Trusts (cannot open SSA, PAN compulsory) Family Trust
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Private Trust Beneficial interest vested in one or more individual
Governed by Indian Trust Act 1882 No SSA to be offered for Private trust PAN No. Compulsory
Discretionary Trust –– Where beneficiaries are not defined– If defined, share of income or benefit not defined
Specific Trust -– Beneficiaries with share of of benefit defined– Trustees have no freedom to apply income outside
trust objectives
Note : ICICI Bank does not open accounts of discretionary trust Mere word discretion does not make trust discretionary Refer to Legal Team before rejection.
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Trust by Will / Minor as beneficiary Trust with beneficiary as Minor
ID proof of minor to be obtained Date of Birth of Beneficiary Minor to be
noted Source of income of trust to be ascertained All documents required for Trust to be
obtainedIssue of cheque books and withdrawals can
be permitted till Minor attains majority (Ann II cir 7495)
Trust by Will Trust should be registered Copy of the Probate to be obtained Other documents applicable for Trust
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Trust – DocumentationSpecimen Sign/ Photo /ID For Authorized Signatories only
Copy of PAN or Form No.60 PAN compulsory for Private Trust
Extract of board resolution Refer Cir 7495
Copy of trust deed Name to match with AOF
Copy of registration certificate Name to match with AOF
Office bearers list with address On letterhead and dated
Proof of tax exemption (for SSA only)
12 A Certificate/ Copy of Nil returns/ Ann XVII as per Cir. 7495
Address proof of entity NOC from office bearer not allowed
KYC Report Annexure X as per cir 7495
Deduping Annexure 1 cir 7999
Shareholding Pattern(ann 19 cir 7998)
Not needed for Public Trust
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PF/GF/SAF - DocumentationSpecimen Sign/ Photo /ID For Authorized Signatories only
Copy of PAN or form 60 Name to match AOF
Extract of board resolution Refer Cir 7495
Copy of trust deed Name to match AOF
IT Recognition Certificate Mandatory for SSA, for current account application to IT needed
List of trustees with address On letterhead and dated
Proof of tax exemption for SSA As per eligibility slide
Address proof of entity NOC from office bearer not allowed
Deduping Annexure 1 cir 7999
Shareholding Pattern Not needed for Public Trust
KYC Report Annexure X as per cir 7495
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Societies (Constitution code R 12) Constitution
– Registered under Societies Registration Act 1860 or other state / UT acts
– Multi State Co-operative Society– State Housing Societies Regulations like Apartment Acts
Type of societies– Marketing Societies (Fruits, Vegetable Vendors, Cotton
merchant, Cotton traders, Coconut, Tobacco, Poultry etc.)– Primary Agricultural Societies– Consumer Cooperatives– Electricity Cooperatives– Farming, Irrigation Societies– APMC (Agricultural produce processing societies/Mandi Boards)– Urban Coop Credit Societies– Cooperative Stores like Apan Bazar / Sahakari Bhandar– Milk Unions– Housing Societies– Women Cooperatives– Student Cooperatives
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Societies - DocumentationSpecimen Sign/ Photo /ID For Authorized Signatories only
Copy of PAN or form 60 Name should match AOF
Extract of board resolution Refer Circular no. 7495
Copy of MOA/AOA/Bye Laws Name should match AOF
Registration Certificate Name should match AOF
List of trustees with address On letterhead and dated
Proof of tax exemption (For SSA) Registration certificate as Society
Address proof of entity NOC from office bearer not allowed
KYC Report Annexure X as per Circular no. 7495
De-duping Annexure 1 cir 7999
Shareholding Pattern Not needed for Public Trust
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Associations (Constitution Code R 6) Type of Associations
– Sports Associations– Merchant Associations– Employee Welfare Associations– Trade Associations– Professional Associations– Councils– Association of Person (AOP)– Chamber of Commerce– Federations
The Association should be registered as a Trust, Society or Sec 25 company
Documentation as per constitution under which same is registered.
Only registered Associations are allowed to open a/c
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Clubs (Constitution Code R7) Type of Clubs
– Health Clubs• Bombay Gymkhana
– Lifestyle Clubs• US Club
– Sports Club• MIG Club
– Social Activity Clubs• Rotary, Lions, Jaycees
Only non-profitable clubs are allowed to open account.
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FCRA (Foreign Contribution Regulation Act)
Act to regulate inflow of foreign donations to – Persons– Associations– companies
To ensure that usage of foreign donations are not detrimental to national interest
Foreign contribution can be received by obtaining
– Prior permission (Specified amount from specified source for specified period)
– Registration (Contribution can come from multiple sources without predefined limits)
Permission is accorded by Ministry of Home Affairs
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SSA Account for FCRADocumentation All the KYC document as applicable to type of entity Annexure V - Customer Information Report Cir No.7495) Annexure VI - Self Declaration from the Applicant of FCRA account (Cir
7495) No AOC should be collected while opening FCRA account
Account opened centrally with debit and credit freeze by Mumbai RPC
Letter as per Ann VII FCRA Circular 7495 issued for MHA once a/c open
Freeze to be removed once permission from Ministry of Home Affairs received for FCRA for the a/c
All subsequent modification post this to be done at Local RPC
For details on FCRA please refer to Circular 7890
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M2O Account for FCRADocumentation Only M2O (with Zero Balance) and not RCA to be sourced for FCRA
Current Account (Through Omnidoc and not Infopool) All the KYC document as applicable to type of entity Annexure V - Customer Information Report (CIR) (Cir 7495) Annexure VI - Self Declaration from the Applicant of FCRA account (Cir
7495) No AOC should be collected while opening FCRA account
RCU done at Local RPC & scanned through Omnidoc and not Infopool to Mumbai COPS
Letter as per Ann VII FCRA Circular 7495 issued for MHA once a/c open
Freeze to be removed once permission from Ministry of Home Affairs received for FCRA for the a/c
All subsequent modification post this to be done at Local RPC
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Permissible credits
FCRA accountFCRA account Non FCRA account
Foreign contribution/ donation Local funds (including exempt entities as per annexure XIV)
Funds from other FCRA accounts held in India
Foreign funds if the underlying transaction is commercial, subject to FCRA advisory committee approval
Interest earned on FCRA savings account / fixed deposits made out of FCRA funds
NRI funds (excluding PIO / OCI)
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Non-Permissible Credits
FCRA account Non FCRA account
Local funds Foreign source funds in the nature of donation
Funds from NRI holding Indian Passport (excluding PIO / OCI)
Funds from other FCRA accounts held in India
Foreign funds other than donation
Interest earned on fixed deposits made out of FCRA funds
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Checklist for creditsSource Account
typeType of remittance
Can we credit
NRI Indian passport
Non FCRA A/c
Commercial or non commercial
Yes
NRI Indian passport
FCRA A/c
Commercial or non commercial
No
Foreign
Non FCRA A/c
Non commercial
No
Foreign
FCRA A/c
Non commercial
Yes (Permission or registration)
Foreign
Non FCRA a/c
Commercial Yes (Committee approval)
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Defence - (Constitution code R 6) Army, Navy, Air force regimental Funds Canteen Stores Depot and Unit Run Canteens Inter Service Organisations
E.g. Coast Guard / BSF / ITBF / CRPF / CISF Insurance Funds
E.g. Army Group Insurance, Navy Group Insurance Benevolent Funds
E.g. Army Welfare Housing Organisation Defence Production (Ordinance Factories) Defence Research & Development Organisation Training Institutions
Eg. Sainik Schools, NDA, Army Medical Institutions
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Sec. 25 Companies (Constitution code R 6)Account opening form Series 340 to be used
Specimen Signature/ Photograph / Identity proof
Needed for authorised signatories only
Copy of PAN or Form 60 Name to match AOF
Extract of board resolution Refer Cir No.7495
Copy of trust deed Name to match AOF
Copy of registration certificate Name on AOF to match
List of Directors with DOB On letterhead and dated
Proof of tax exemption (only for opening SSA, not for CA)
Registration certificate
(Refer annexure I Cir.No.7495)
Address proof of entity
(Annexure IV Circular 7495)NOC from Office bearer to use residence address not allowed
KYC Report Annexure X as per Cir.No.7495
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Educational Institute run by TASC
KYC Documentation
1.KYC documentation of trust / society /sec 25 co. running Education Institute (EI)
2.Resolution from entity to open account in the name of school etc
Rubber stampAll documents /AOF/ letterhead should be of entity except for Specimen Signature which would be across rubber stamp of indtitute
Identity Proof of institute (ref cir 7495)
Permission letter given by Govt. Dept. can be taken as identity proof eg. CBSE, ICSE,AICTE, linking the entity to the educational institute
Address Proof of school (Refer to Ann IV Circular7495)
Address proof in the name of school needed if different from entity. Permission letter can also be taken as address proof
Tax Exemption (for opening SSA)
As per previous slide
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Clubs (Constitution code R 7) Documentation
Account opening form (series 340)Specimen Signature with photo for
signatories PAN or Form 60 Copy of International / Local charter (if available) Certified copy of Resolution List of office bearers with address, Date of Birth Proof of I T exemption (for SSA) ID proof of authorised signatories Address proof of the club For International clubs, letter of appointment of
Dist. Governor / President / Head of the International Club
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Conference / Trade Show / Seminar
International / Domestic Trade Seminar / Conferences
– KYC of entity organizing the even – Identity and address proof of the
event– Purpose of foreign remittances
received to be checked• If donation, FCRA permission to be
obtained by entity
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Conference / Trade Show / Seminar
KYC Documentation
KYC documentation of trust / society /sec 25 co. organising the event
Rubber stamp
All documents /AOF/ letterhead should be of entity except for Specimen Signature which would be across event rubber stamp
Identity Proof of event (ref cir 7495)
Permissions letter given by Govt. Dept. can be taken as identity proof
Address Proof of event (Refer to Ann IV
Circular7495)
Address proof in event name needed if different from entityPermission letter from Govt Dept. can also be taken as address proof
Tax Exemption for SSA
As applicable to the type of entity organising the conference
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Judicial / Court Order / DRT Accounts
Request letter to open the account / fixed deposit
Copy of court order if applicable
Signatures to be obtained on AOF or on letterhead.
For deposit through court order, MOP as per court order
If the a/c or FD would be operated as per the instruction of the court / DRT etc. the signatures should not be scanned and the mode of operation should be mentioned -- “As per Court Order”
In case of instruction from Court etc. to open SSA, Form 12 A and / or nil returns not needed.
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TASC Segment
Channels
Products
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Channels to be usedBranch
– Transaction (cash / transfer / clearing)– RTGS / NEFT– Tax payment
Corporate Internet Banking– Fund transfer– RTGS / NEFT– Bill payment
ATM drop box (for deposit of cheques)Phone Banking
– Balance inquiry
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Products Product Suite for TASC …...1
– Fee Management Solution– Fixed Deposit / Money Multiplier
Deposit– Operative Account
• Special Savings Account• M2O• RCA
– Doorstep Banking– E Collection (RTGS/NEFT)– CSGL– Demat– Trade Finance (LC/BG against 100%
margin)
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Products Product Suite for TASC …...2
– Sale of Corporate Bonds– Loan / Overdraft against Fixed
Deposits– Tax collection– Outstation cheque collection– Travel card for employees /
directors / members of TASC entity– Pay Direct Card for employees /
recipients of donations– Payment Gateway through IMSCL– EDC machines through IMSCL– Utility Bill payment
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Agenda
Documentation
Precautions
FAQ
TASC – Customer profile
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Precautions Appropriate selection of constitution code Peruse the documents prior to submission
Banking clause Applicability of FCRA Eligibility for opening of Special Savings
Account Name and property stamp should match If resolution is more than 6 month old,
should be stamped true and updated PAN no to be verified on site If registration is part of trust deed, no
separate registration certificate required Self drawn cheque not mandatory
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Profiling customer SM to visit the place of customer
To ensure identity of customer To ensure genuineness of the entity To understand financial ability and
requirement of the customerCould help in cross selling other products
SM to chec Internet and search for the client name To trace any negative historical data of
customer To protect ICICI Bank from allowing access to
suspicious entities To help conduct due diligence
SM to monitor actively operated accounts To ensure higher CASA To ensure profitability of the account
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Agenda
TASC Customer - Profile
Documentation
Precautions
FAQ
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Frequently Asked Questions…1
Q.What is KYC to be done where a person changes his name e.g. Mukund Jani becoming Muktanand Swami ?
The Trust/Association/Society etc must confirm in the Resolution about the name of one or more authorized signatories having undergone a change
Change in names has to be supported by sufficient proofs
A proof could be paper publication followed by gazette notification
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FAQ…2Q Can TASC AOF be rejected because name
of the entity is absent in the trust deed? In such cases, copy of the Schedule I duly
stamped by Charity Commissioner shall be valid for KYC documentation
Q If the word “The” is used before the name, whether it can be accepted or rejected for not matching of name?
The addition/deletion of the word "The" does not amount to change of name.
"The" is a generic term, if the same is prefixed / suffixed to the name of the trust it has a nullified effect.
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FAQ…3
Q The settlor has appointed himself as the sole trustee. Is this acceptable?
The author or settlor of a trust may appoint/ constitute himself as the sole trustee or as one of the several trustees.
Q Can a trust deed/ Memorandum/ Rules and Byelaws has not been witnessed, however it has been registered by the Sub Registrar be accepted?
Yes it is acceptable. Sub – Registrar is deemed to be an attesting witness
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FAQ…4
Q Where the settlor has appointed the trusteeship company as a trustee to act and manage the trust, can the letterhead etc be of the trustee (Trusteeship Company) be accepted?
Yes. If the deed of appointment of the trustee gives power to the trustee (Trusteeship Company) to delegate to any persons / brokers/ sub-brokers etc to its powers and duties (opening of accounts, investments etc) in terms of managing the Trust
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FAQ…5Q The trust deed/ bye laws/ MOA are silent on
banking matters, what should be done? Specific resolution should be passed
allowing entity to bank with ICICI Bank.
Q Certain times the trust deed says "TRUST FUNDS SHALL BE KEPT IN THE NAME OF ALL OR SUCH
NUMBER OF TRUSTEES AS MAYBE DECIDED BY THEM." Can the account be opened in the name of the trust in such case?
As per the trust deed the account should be opened in the name of the trustees
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FAQ …6
Q Can the authorised person delegate his / her authority to another person?
Account operations can be delegated to other office bearers by passing a resolution to the effect, empowering the authorized signatories to delegate the authority to other office bearers
The trust deed / bye laws should permit such delegation. If not permitted or not explicitly mentioned by trust deed / byelaws, then account operation can be done by the signatories as empowered by the trust deed/bye laws
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Private Trust – Public Trust Please refer to FAQ 15 Circular 7495
Private Trust Public Trust
For the benefit of specific individuals For the benefit of general public or a class thereof
Governed by Indian Trusts Act, 1882 Governed by the general law particularly laws of state, the provisions of the Indian Trusts Act, 1882 do not apply
Do not get tax exemption status Might enjoy tax exemption status
Modification to the trust deed can be done as per the process mentioned in the trust deed.
Modification or alteration can be made by Charity Commissioner/ Registrar/ Court as the case may be.
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Thank you