Register a Charitable Trust in Kenya
A Charitable trust holds and manages assets for the benefit of others. The Trustees Perpetual Succession Act Cap (“Trustees Act”) allows the establishment of trusts only for religious, educational, literary, scientific, social, athletic, or charitable purposes (Trustees Act Chapter 164, Section 3(1)). Forming a legal personality through trust structures can also affect charitable trust purposes.
A charitable trust foundation under Kenyan law is established as either a company limited guarantee or a corporate body.
In order to give the trust its own certificate of incorporation and enable it make arrangements under seal in much the same way as a limited company, the trust is thereafter registered under the Trustees (Perpetual Succession) Act whereupon A Certificate of Registration for the trust is granted. The trust can sue and be sued.
In its own name (as opposed to those of the trustees), registering a trust is especially useful when the trust wants to hold interest in movable and immovable property (i.e., land) in its name rather than in the individual trustees’ names. Furthermore, by registering an organization as a trust, it may be possible to apply for charitable status.
An entity obtains eligibility for charitable trust status after complying with the requirements of the Kenya Revenue Authority.
Requirements for registration of charitable trust.
- Trust Deed.
- Objectives of the Trust.
- Names of the Trustees in Full.
- Postal addresses of the Trustees.
- Proposed Physical address of the Trust. Address includes road, plot number, town, and county.
- Copy of ID / Passport of the Trustees.
- Passport photos of the Trustee.
- Copy of PIN certificate of the Trustees
Setting up a Trust in Kenya
Preparation of trust deed
Setting up a trust in kenya involves the preparation of trust deed. It contains the name of the trust, the objectives of the trust, the names in full and addresses of the trustees including powers of the trustees to change and appoint other trustees.
Stamp duty
The trustees duly sign the trust document and submit it for stamp duty.
Registration under the Registry of Documents Act.
Incorporation under the Perpetual Successions Act.
After registering under the Registration of Documents Act, the trustees lodge a certified copy of the trust deed and a petition for incorporation with the Ministry of Lands for the incorporation of the trust.
8 comments
kenneth Ambani
August 1, 2016 at 9:07 am
Thanks for the information. How long does it take for one to get a certificate after applying for it since the trust deed document cant enable one to open a bank account.
David
September 7, 2016 at 8:46 am
Hello,
What is the process of petitioning for trust incorporations?costs involved?timeline? KRA recognition and exemption of tax as a charitable entity?
James
October 11, 2016 at 5:31 am
Can I obtain a PIN Number after I have registered with the registrar of documents but before I have incorporated it?
Christine Ombima
October 21, 2016 at 12:12 pm
I need to register a charitable trust, kindly take me through the process and inform me of how much it shall cost and how long it will take for the certificate to be ready.
0780796146
0728693669
Daniel banzi
November 25, 2016 at 1:29 pm
How do i register a foundation? / how long will it take and how much will it cost up to its completion?
lawrence juma
December 13, 2021 at 8:13 am
I want to start a family foundation, I need to know the procedure and how much it will cost. Thanks
Moipei
June 26, 2020 at 12:05 pm
I want to register a family trust…
how much does it cost and the duration
C K
June 21, 2022 at 3:08 pm
Is it possible for expats to register their charity organisations in Kenya while living abroad please?
thanks