Why to opt for Trust and not Society?

Why to opt for Trust and not Society?

One of my client walked in to ask if he can register a Non-Profit Organization for social

cause so that to contribute to the society as he was fond of dogs. He wanted to help in

treatment of stray dogs. However, due to lack of personal funds, he was unable to contribute completely.

He asked us, if he can register it without spending much. We suggested Trust or Society. Here’s the difference between both;

Summary	Trust under Indian Trust Act, 1882	Society under Societies Registration Act, 1860
Also known as	Private Trust and Charitable Trusts	Society
Best use of Company	Charitable/ religious purpose, generally the founder transfers a property/ asset for a specific charitable purpose	For social welfare
Eligibility Criteria	Minimum three (3) members required	Minimum ten (10) members required out of which 8 to be from different states if being registered at All India level
Deciding name	Generally, names are available	Only non-registered unique names are available
Area of Operation	In India	Covers India only in case of Society being registered at All India level
Controlling power	Only Settler	Any depends upon voting by the members in majority
Winding Up	Not possible	Possible when 3/5th members votes

Best part is both are Eligible for Income Tax Exemption after Registration u/s 12A & 80G. Both are Eligible for receiving Foreign Contribution after Registration under FCRA and for receiving Govt. grants and benefits