FCRA Account: Benefits, Cash Limits and Restrictions



Quick Summary
The Foreign Contribution Regulation Act (FCRA) requires charitable trusts, societies, and Section 8 companies receiving foreign donations to obtain registration. This FCRA registration enables organisations to lawfully accept foreign contributions and government aid, supporting their social work. However, there are strict limits on cash transactions, with a daily withdrawal limit of Rs. 2,000 and limitations on non-deductible cash payments exceeding Rs. 10,000.

About FCRA Registration Charitable Trusts, Societies, Section 8 Company that receive foreign contribution or donation from foreign sources are required to obtain registration under section 6 of Foreign Contribution Regulation Act, 2010. Such registration under the Foreign Contribution Regulation Ac
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FAQ :

FCRA registration is a requirement under the Foreign Contribution Regulation Act, 2010, for charitable trusts, societies, and Section 8 companies that receive foreign contributions or donations.

FCRA registration helps organisations involved in social work and public benefit to lawfully receive foreign contributions and government aids.

FCRA-registered entities must not exceed Rs. 2,000 per day for cash expenses and withdrawals to ensure transparency.

Yes, as per the Income Tax Act, cash payments exceeding Rs. 10,000 per day are not deductible unless made via an account payee cheque or draft.

The Ministry of Home Affairs advises against using ATMs or debit cards for cash withdrawals or online transactions for FCRA accounts.




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