Foreign trust

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

21 June 2013 can anyone pls tell me...one person has a trust in moritious..he wants to open custodian account for trust with bank in india...whether he should ope institutional or non-institutional custody account...depending on which he will be liable to pay less tax ????

RAMESH KUMAR VERMA

RAMESH KUMAR VERMA (Expert)
Follow

16 October 2013 permission from RBI is mandatory in this case by foreign trust.

under FCRA, an organisation registered in India, having a definite cultural, economic, educational, religious or social programme is entitled to apply for registration. In India legally valid charitable organisations can be registered as society or trust with foreigners as board members/trustees. Therefore, there is no legal bar on such organisation in making an application to the FCRA.