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Foreign exchange donation by indian trust

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Ashima

CA Job

35 Points Posted on 16 September 2013

Hi all

I am working as voulunteer for a charitable trusts which works for benefit of underprieveliged children. One of the US citizen has expressed interest to donate some amount to trust. I need urgent help with following :

a) will trust have to be registerd under FCRA for receiving this donation.

b) if so, what is the procedure for getting registartion under FCRA and expected time frame

c) Trust is under process of getting 80G exemption. Will that be an issue

d) what other formailities will have to be completed

e)can donation received directly in Indian bank account of the trust.

Please help. Thanks

Replies (1)

Ankit

CA CS

2674 Points Posted on 16 September 2013

Dear Ashima,

Yes, you have to register under FCRA for receiving the said contribution since the same is received from a foreign source.

The consent needs to be taken from the Ministry of Home Affairs. The time frame is usually 3-6 months for the grant of registration. A project report needs to be submitted for the approval.

No, the donation has to be received only in the designated account for which the approval is taken from the home ministry

If you need help regarding this, you can let me know

Ankit