FCRA Registration

  • Drafting of Application
  • Filling of FCRA Application with the ministry
  • Assistance in Documentation
  • Follow-ups
  • Grant of Certificate
Request a call back
FCRA Registration under Foreign Contribution (Regulation) Act, 2010]

Foreign Contribution (Regulation) Act, 2010 (FCRA) came into effect from May 1, 2011. This Act was created to regulate 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 any activities detrimental to the national interest and for matters connected therewith or incidental thereto. The main focus of the this Act is to make sure that the foreign contribution and foreign hospitality are not used to influence electoral politics, public servants, judges and individuals working in the important locations of nationwide life such as reporters, printers and publishers of newspapers and so on.

Acceptance of Foreign Contribution:

The Act, specifically prohibits certain persons from accepting any foreign contribution in any form from outside the territories of India While there are certain associations which are allowed foreign contribution subject to the approval of the Central Government. Following is the flow chart to better understand who are allowed to accept Foreign Contribution and who all are prohibited from accepting the same:

Prohibited Persons
  1. Candidate for Election
  2. Correspondent, columnist, cartoonist, editor, owner, printer or
    publisher of a registered newspaper
  3. Judge, Government servant or employee of any corporation or any
    other body controlled or owned by the Government
  4. Member of any Legislature
  5. Political party or office-bearer thereof
  6. Organisation of a political nature
  7. Association or company engaged in the production or broadcast of
    audio news or audio visual news or current affairs programmes
    through any electronic mode, or any other electronic form
  8. Correspondent or columnist, cartoonist, editor,
    owner of the association or company
Association allowed by approval
  1. Trust
  2. Societies
  3. NGOs
  4. Section-8 Compnaies
Approval for accepting foreign contribution

Section -11 of the Act, talks about the approval for accepting foreign contribution. It says that organizations who are working for definite cultural, social, economic, educational or religious programs (viz. NGOs, Trust, Societies), before accepting any foreign contributions shall have to obtain a certificate of registration from the Central Government under the Act.

A person can either seek registration from the Central Government for accepting foreign contribution or if not registered can obtain prior permission which will be valid for the specific purpose for which it is obtained and from the specific source.

For obtaining registration under the FCRA, the applicant association should be registered under any of the following Acts:
  1. Societies Registration Act, 1980 (Societies)
  2. Indian Trusts Act, 1882 (Trusts)
  3. Charitable and Religious Trusts Act, 1920
  4. Companies Act, 1956 (Section-25) or Companies Act, 2013 (Section- 8)

A certificate of registration can be obtained by the Central Government by filling an application for FCRA Registration or FCRA Prior Permission, as the case may be, in E-Form FC-3 along with supporting documents and prescribed fees.

Registration Procedure:
I Obtaining NGO Darpan ID:

Those who are applying for FC3(FCRA registration or FCRA Prior Permission) are required to register with Darpan Portal of Niti Aayog to obtain Darpan ID by filing up certain details of the entity and its members.

IIOpening of FCRA Bank Account:

An exclusive FC A/c is required to be opened which shall be exclusively for the purpose of accepting foreign contribution. the Bank with which such account needs to be opened should be a specifically PFMS integrated bank who are eligible for opening of such accounts. List of banks integrated with PFMS is available at https://fcraonline.nic.in/fc_bank_list.aspx.

IIIInformation/Documents required for registration:
following information/documents are require for the purpose of the registration under FCRA:
  1. Details of the association
  2. Registration Certificate/Trust Deed of the association (Self Certified)
  3. Memorandum of Association/Articles of Association showing the aim and objects of the association (Self-Certified)
  4. Details of the members of the association (along with KYCs)
  5. Activity Report indicating details of activities during the last three years
  6. Copies of relevant audited statement of accounts for the past three years (Assets and Liabilities, Receipt and Payment, Income and Expenditure) clearly reflecting expenditure incurred on aims and objects of the association and on administrative expenditure
  7. jpg file of signature of the chief functionary
  8. duly signed Commitment Letter from Donor (required in case of prior permission only)
  9. If functioning as editor, owner, printer or publisher of a publication registered under the Press and Registration of Books Act, 1867, a certificate from the Registrar of Newspapers for India that the publication is not a newspaper in terms of section 1(1) of the said Act (required in case of prior permission only)
  10. Details of the Bank Account opened exclusively for the accepting foreign contribution.
IVFilling of prescribed form:

Once all the documents and information have been collected, the next step is to file the E-Form FC-3. Fees is required to be paid online while submitting the form (which is INR 2,000/- for registration and INR 1,000/- for prior permission)

V Obtaining of Certificate of registration:

after submitting the form, the Central Government scrutinizes the same and if found all the documents in order and if satisfied by the information provided by the association, Certificate of Registration is granted to the association after which the association can accept the foreign contribution through the FC Bank Account opened for the same.

Registration Compliances under FCRA:
I Filling of Annual Returns:

Every association accepting foreign contribution who have obtained certificate of registration under the Act, are required to file Annual Returns online for every financial year within a period of nine months from the closure of the year i.e. by 31st December each year, in E-Form FC-4 till the amount of foreign contribution is fully utilized.

IIIntimation of receipt of Foreign Contribution:
This is applicable in following cases:
  1. If a person is receiving any foreign contribution from any his/her relative by way of a gift
  2. If a person is receiving any foreign contribution from any his/her relative by way of a Articles
  3. If a person is receiving any foreign contribution by way of securities
  4. If foreign contribution is received by a candidate for Election

Any Person receiving foreign contribution in excess of INR 100,000/- or equivalent thereto in a financial year from any of his relatives, shall inform the Central Government in E-Form FC-1 within 30 days from the date of receipt of such contribution.

Any Person who receives any foreign contribution in the form of Articles or by way of securities are also required to inform the Central Government in E-Form FC-1 within 30 days from the date of receipt of such contribution.

Foreign contribution received by a candidate for election, shall also be furnished in E-Form FC-1 within 45 days from the date on which he is duly nominated as a candidate for election.

IIIPrior Permission for receiving Foreign Hospitality:
Following person while visiting any country or territory outside India, who wishes to avail any foreign hospitality shall be required to take prior permission from the Central Government:
  1. Member of a Legislature
  2. Office -bearer of a political party
  3. Judge
  4. Government Servant
  5. An employee of an corporation or any other body owned or controlled by the Govt.

Such permission shall be taken by filling up E-Form FC-2 atleast 15 days before the proposed date of outward journey.