Notices on Foreign Relief Disallowance (FCRA)

The FCRA license is a mandatory registration granted to an NGO or any other nonprofit making organization which allows them to receive funding from abroad.

According to the official website related to the FCRA, around 12000 nonprofit organizations and entities are ceased to accept foreign donations because

• Their registration has been ceased because of violations of the provisions of the FCRA act, or
• They have not applied for renewal of licenses within the due time. Generally, permission granted under FCRA Act remains valid for a period of 5 years or till the full utilization of the number of Foreign Contributions for which the permission was granted.

According to the official website of FCRA, around 12000 organizations and entities' registration have ceased, or their validity has expired. Some of the most famous entities include the Indira Gandhi National Centre for Arts, Bhartiya Sanskriti Parishad, Nehru Memorial Museum and Library, Lal Bahadur Shastri Memorial Foundation, India Habitat Centre, All India Marwari Yuva Manch, the Medical Council of India, Emmanuel Hospital Association, Tuberculosis Association of India, Vishwa Dharamayatan, Maharishi Ayurveda Pratishthan, National Federation of Fishermen's Cooperatives Ltd and Oxfam India.

This list also includes an exhaustive list of colleges such as Hamdard Education Society, Delhi School of Social Work Society, DAV College Trust and Management Society, India Islamic Cultural Centre, Asha Kiran Rural Educational Development Society, The Delhi Public School Society, Nuclear Science Centre in JNU, Lady Shri Ram College for Women and Delhi College of Engineering.

However, the ministry of human resource department, in a matter of public interest, has decided to extend the validity of the FCRA registration certificates of those NGOs whose validity was expiring on September 29, 2020, and September 30, 2021, to March 31, 2022, or till the date of disposal of their renewal applications, whichever is earlier, in respect of only those entities who have applied for renewal of application and their application status is pending.

The government has also amended the FCRA guidelines in September 2020 making them stricter. A mandate has also been levied on non-government organizations that are receiving foreign funding and will now have to operate from bank accounts in the State Bank of India in New Delhi only.

The author Sushant Gangurde is a legal analyst who aims to educate people about various tax laws and financial planning.