Public Trust TO Pvt. ltd. co.

This query is : Resolved

Sonam (Querist)
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06 October 2009 We are running NGO having trade,commerce, social welfare and education.
As per new FCRA law, NGO are taxable from FY 2009-10. Therefore, better to pay tax and run same as public trust. or Register with private limited co. and get benefit from Micro samll and medium enterprise development from government of india or state.
What is the main rule of Micro small & medium enterprise development.

Guest

Guest (Expert)

06 October 2009 It is better to remain with the Trust Format.

And MSMED Act doesn't differentiate between Trust & Company. You can also get benefit as a Regd. Trust.

However, the trust must be regd. with the FCRA & Income tax