Trust Registration in Bangladesh

Trust registration in Bangladesh is used for two very different purposes. Families use private trusts to hold property for children or relatives, manage succession and keep assets together. Founders, communities and companies use charitable or public trusts to run schools, hospitals, mosques, scholarships and welfare projects. The legal mechanics are similar; the drafting and tax consequences are not.

Unlike a company or society, a trust is not a separate legal person. The trustees hold the property and act for the trust. That makes the trust deed the most important document: it defines the purpose, who controls the assets, how trustees are replaced and what happens if the trust ends.

Private trust or public charitable trust?

A private trust benefits identified individuals, such as family members, and is governed by the Trusts Act 1882. A public charitable trust benefits the public or a section of it, for purposes such as education, health, poverty relief or religion, and falls under the Charitable and Religious Trusts Act 1920 and general trust law. Waqf arrangements for Muslim religious and charitable purposes follow the Waqf Ordinance 1962 and are administered with the Waqf Administrator, which is a separate route.

If the organisation will hire staff, run programmes at scale or receive foreign funds, compare a trust with a section 28 company or society before deciding. A trust is simple to create but can be harder to restructure later.

What the trust deed should cover

• Name of the trust and its registered address
• Author (settlor) and the property transferred, with schedules for land, cash or securities
• Objects or beneficiaries, stated clearly and lawfully
• Number, qualifications, appointment, removal and replacement of trustees
• Trustee powers: investment, borrowing, sale of property, opening bank accounts, hiring
• Meetings, quorum, decision-making and record-keeping
• Accounts and audit requirements
• Amendment, dissolution and what happens to remaining assets

Registration at the Sub-Registry

The deed is printed on non-judicial stamp paper or with stamp duty paid as required under the Stamp Act 1899, signed by the author and trustees with witnesses, and presented at the Sub-Registry office with jurisdiction. Where immovable property is settled, registration is compulsory and the property schedule must match the land records. Registration fees and stamp duty depend on the nature and value of the property and the current schedule.

After registration, the office returns the registered deed. Certified copies can be obtained for banks, tax authorities and any regulator the trust deals with.

Tax, bank account and ongoing compliance

The trust needs its own e-TIN, opened in the name of the trust through its trustees, and must file income tax returns under the Income Tax Act 2023. Income of certain charitable and religious trusts may be exempt or treated differently if conditions in the Act are met, so the deed's objects and the trust's actual spending need to be consistent with those conditions. Trusts that make payments to staff or suppliers also have withholding (TDS) duties.

Banks will ask for the registered deed, trustees' resolution, NID or passports of trustees and the TIN. Keep minutes, accounts and an asset register; disputes between trustees or with beneficiaries are far easier to resolve when records are clean.

Common mistakes

• Objects drafted too vaguely to qualify for charitable treatment, or too narrowly to adapt later
• No mechanism for replacing a deceased or unwilling trustee
• Unregistered deeds for immovable property
• Founder retaining personal control in a way that defeats the trust's purpose
• No TIN or returns filed, leading to bank and tax problems later

How the process works

1. Purpose and structureWe discuss your objectives and confirm whether a private trust, public trust or another vehicle fits best.
2. Draft the deedWe draft the trust deed with property schedules, trustee provisions and governance rules for your review.
3. Stamp and executeWe arrange stamp duty and the execution of the deed by the author, trustees and witnesses.
4. RegisterThe deed is presented and registered at the competent Sub-Registry office.
5. Post-registration setupWe obtain the trust's e-TIN, support bank account opening and set up basic accounting and return filing.

Typical timeline: Drafting and registering a trust deed usually takes a few weeks once the property documents and trustee details are ready, though land-related checks and Sub-Registry scheduling can extend this.

How Tax & VAT Associates helps

• Advice on private versus charitable trust and alternatives such as section 28 companies
• Drafting of the trust deed and trustee resolutions
• Stamp duty, execution and Sub-Registry registration coordination
• e-TIN, bank account support and annual income tax returns for the trust
• Accounting, TDS compliance and trustee change documentation

Frequently asked questions

Related services

Last reviewed: 6 October 2026. Bangladesh tax and regulatory rules change with each Finance Act, SRO and authority circular. This page is general guidance; confirm current requirements for your case before filing.