Hello Friends,
A Pub ltd co. has formed a trust for ESOP. Now since the trust is unregistered the shares are in the name of one the trustee.
querry: - How can it be ensured that the shares are held by the trustee on behalf of the trust, since there may be shares held by trustee in his individual capacity also?
Can the trust be registered, so that it can hold shares in its own name. If yes please guide for the same?
Thanks in advance
Hi Niki,
You can keep the trust unregistered. Also it will be very difficult to register Trust now as there is time limit even after condonation of delay. For holding and transfering shares by demat mode, trust should be registered with PF or IT authorities.
For ensuring that the shares are held by the trustee on behalf of the trust, file form 22B on MCA Pursuant to section 187C (4)of the Companies Act, 1956.
Thanks & Regards
Jaideep Pandya
Thank you Jaideep,
The management decision is to register the trust, so as to enable it to have a demat and trading account.
Can guidance be received for such purposes.
The application to be submitted to the Deputy or Assistant Charity Commissioner of the region or sub
region within the limit. The application shall be made within 3 months of creation of Trust and shall inter‐alia contain the full detail as prescribed in form of Schedule II.
Every application made under subsection (1) shall be signed by the trustee or his/ her agent duly authorised.
Regards
Jaideep Pandya
Thank you Jaideep. One more help from you. Please provide me with the link of the act. Pleaseeeee
I didnt get...which link you are reffering.......................link for resgistration with income tax authorities is pasted below
https://www.incometaxforngos.org/reg-proc.htm
Thanks & Regards
Jaideep Pandya
CAclubindia
