Accounting entry please guide

This query is : Resolved

hemant (Querist)
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07 June 2012 Respected experts, please guide me in the following its really urgent:

The case is as under;

Say there is a registered trust having 80G certificate, now this trust want to purchase assets but as there is many problems in after words selling that property, so decided to create company for buying assets but the problem is that fund given by donor is to trust for buying property now how trust can enter in this transaction of buying property.

So, main point is as under

fund given by donor is to trust for buying property.

Now that property purchase agreement is done by company with builder.

now my question is i want to rotate fund from trust to company for buying that property.

so guide me whether this is possible and if yes then how and if not than suggest me in the matter.

complete accounting entries. etc please any further details required than please let me know

Thanks.

CA SMR

CA SMR (Expert)
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08 June 2012 The trust has to loan the amount to the company...More views are requested..

hemant

hemant (Querist)
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08 June 2012 Thanks Sukanyaji

but i like to explain my question in more details please see

Let me make query more clear..

1) Peson Donate the money to trust (its a donation)

2) Now trust wnat to give to donor on trust's own wish right to stay to donor in bunglow at say xyz place.

3) Now that bunglow not want to purchse in name of trust but for that company created.

4) company is not having fund for purchasing bunglow's now here donation which is received by the trust is want to use

5) now the real problem comes that how fund transfer from trust to company

Please guide in detail considering all rules and regulations of trust act, IT Act etc.

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