Hi,
The assessee is a Charitable Trust registered in India. Till date the trust has only accepted donation from select individuals forming a part of the family who formed the trust. The amount received as donation along with any income earned on investments (interest on bank FDs) is utilized and distributed by the trustees for the purpose of the trust.
A family member who is a Non resident as per the Indian Income Tax Act wants to give donation to the trust. The questions are as under:
Can the trust take donation from such an individual?
If yes, is there any monetary limit prescribed for the amount that can be taken as donation?
Is there a particular type of bank account prescribed from which donation needs to be received e.g. NRE, NRO, Saving Bank, Account held in a foreign country, cash, etc.
What additional information will the Trust need to collect for such type of donations?
Are there any specific reporting requirements to be adhered to by the trusts?
Please feel free to add to any additional point to be considered / taken care of in the above.
Thank you all in advance for all your responses,
CA CSJ
CAclubindia
