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FCRA Terms and Conditions

ramakrishna kamisetty (Final student) (73 Points)

01 November 2020

what is the procedure for obtaining registration certificate under FCRA by a society registered under Societies Registration Act. and opening bank account specifically for receiving Contributions from foreign? Thanks..!

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Rama chary Rachakonda (Master in Accounts & high court Advocate email ID:ramachary64@gmail.com voice no:9989324294) (7651 Points)
Replied 01 November 2020

The association must:-

Be registered under the Societies Registration Act, 1860 or the Indian Trusts Act, 1882 or registered as Section 8 Company as per the Companies Act, 2013 or any such Act as may be required.
Submit a specific commitment letter from the donor to the Ministry of Home Affairs which indicates:-
– Amount of contribution given
– Purpose for which it is proposed to be given
Where the Indian recipient organization and foreign donor organization have common members, the following conditions need to be met:-
– The Chief Functionary of the Indian organization can’t be part of the donor organization.
– At least 51% of the members/office-bearers of the governing body of the Indian recipient organization should not be employees/members of the foreign donor organization.
– Where the foreign donor is an individual:
1. He cannot be the Chief Functionary of the Indian organization.
2. At least 51% office bearers/members of the governing body of the recipient organization should not be the family members and close relatives of the donor.