A Trust is the obligation or responsibility placed on one in whom confidence or authority is place it is a confidence reposed in a person by conveying to him the legal title to property which he is to hold for the benefit of others. Therefore, the Trustee responsibility includes protection of rightful ownership in the Trust property, the preservation of the Trust property and channelising the income from the Trust property in accordance with the intentions of the creator of the Trust. In this article, we look at the procedure for forming a Charitable Trust in India.
The following elements are essential for the formation of a Charitable Trust:
1. An Author or Settlor of the Trust
2. The Trustee
3. The Beneficiary
4. The Trust Property or the Subject Matter of the Trust