Dear Readers, till last year we were reaching out to the financially poor schools of other societies by giving donations to the mother society. In the light of the Government restriction on inter-society donations, here I am presenting a way to deal with the situation. Without transferring the property, we transfer only the operation and control of the school under an agreement. Here the need for the financial support of the school is genuine and we are within the provisions of the Income Tax Act. Hence, it may be wise to execute such an agreement and a handover resolution of the giver, and a takeover resolution of the receiver of the school. The same could be followed for any unit, other than the school.
This AGREEMENT is made on …(date)… between:
(1) The First Party, … (name)…whose address is …(address)… and (2) The Second Party, …(name)…, whose address is …(address).
WHEREAS, the First Party is the absolute and sole owner of ………….., both the property and the school with the hostels therein, referred to as the School hereinafter, located at ………………
It is agreed as follows:
- Aim
1.1 This is a Transfer of Operation and Control Agreement.
1.2 The Governing Body of the First Party enters into this Agreement in order to enable better running of ……….. School and the boys’ and girls’ hostels therein, hereinafter referred to as “The School” with better facilities.
1.3 This Agreement sets out the arrangements and primary terms and conditions whereby the Governing Body of THE FIRST PARTY transfers the operation and control of the School to the Governing Body of THE SECOND PARTY:
Fr Alex G SJ
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