FCRA Registration

The primary objective of FCRA registration is to legalize the receipt of any foreign contribution by domestic entities and for ensuring the proper utilization of such funds for the specified purpose. All the Charitable trust, societies and Section 8 Company that receives foreign contribution or donation from foreign resources shall apply for FCRA Registration. FCRA registration is done under the Foreign Contribution Regulation Act, 2010.

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Overview

The Foreign Contribution (Regulation) Act, 2010, is an act which regulates the acceptance and utilization of foreign contribution or foreign hospitality by certain individuals or associations or companies and to prohibit acceptance and utilization of foreign contribution or foreign hospitality for activities which are detrimental to the national interest. The Act applicable to the whole India, to its citizens outside India and also to associates or subsidiaries outside India, of companies or body corporate, registered or incorporated in India.

Eligibility

In order become eligible for FCRA registration following minimum requirements must be met:

  • Registered under the section 8 of the Companies Act, 2013, Societies Registration Act, 1860 or the Indian Trusts Act, 1882.
  • Any person who applies for registration must have an FCRA Account i.e. a bank account with state bank of India, New Delhi main branch.
  • An association should be in existence since 3 years and has undertaken activity for its chosen objects and for the benefit of the society.
  • An association must have spent at least Rs. 10 lacs during the the last 3 years on its core activities for the benefit of the society. The central government in exceptional cases may waive this condition of Rs. 10,00,000.
  • An association should have 12A registration certificate as well as 80G registration certificate also.

List of Documents Required

  • Registration Certificate of Association
  • Activity Report for the last three years
  • Memorandum of Association/Trust deed
  • Audited Statement of accounts for the last 3 years

Process

  • 1

    Go to Ministry of home affairs website- http://fcraonline.nic.in

  • 2

    Create a Login ID by entering your data

  • 3

    Fill form FC-3A which is a FCRA Registration Form

  • 4

    Upload required documents for registration on the portal

  • 5

    Pay Fees @ 10,000 and print the Application for your records

Deliverable

  • Certificate of Registration under FCRA

FAQs

What is the validity of FCRA registration?
FCRA Registration certificate once granted remains valid for a period of 5 years. To keep the registration valid, an application for renewal of FCRA registration can be made 6 months prior to the date of expiry.
Whether donation given by an individual of Indian origin and having foreign nationality is treated as ‘foreign contribution’?
Yes. donation given by an individual of Indian origin and having foreign nationality is treated as foreign contribution.
Can foreign contribution be received in rupees?
Yes, any donation received from ‘foreign source’ in Rupees or foreign currency is construed as ‘foreign contribution’ under law.
Whether income or any other income earned from foreign contribution be considered foreign contribution?
Yes, any income or any other income earned from foreign contribution be considered foreign contribution.
What is the due date of filing an annual return by the FCRA registered entity?
FC-4 is the annual compliance filed within the end of 9 months from the end of the financial year, i.e., this shall be filed on or before the 31st day of December every year.
Can a foreign contribution be mixed with Local Receipts?
No, Foreign contribution cannot be utilized or mixed with the Local receipts.

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