FCRA Registration is optional for NGO/Trust/Section 8 Company. The Foreign Contribution Regulation Act, 2010 is formed to regulate the foreign contributions received by any individual, company, or associations. This Act has been created to bring transparency towards any donations received from foreign sources for national interest. FCRA registration can be done in two ways: proper FCRA registration and prior permissions. For obtaining and acquiring foreign contribution, it is mandatory to apply for FCRA registration. This has been done by the government to legalise the foreign donation and to ensure its proper utilisation. FCRA license is applicable for 5 years, which can be renewed further. After registering under the FCRA Act, one can approach foreign bodies like UNESCO, OXFAM, AUSAID, etc., for raising foreign donations. At firststartup, we provide a facility to get FCRA registration with complete compliance in 25 days.

Documents Needed

• Copy of COI
• PAN of NGO
• MOA & AOA of company
• Details of activities undertaken in past 3 years
• Audited Financial Statements of past 3 years
• 80G & 12A
• Proof of Nationality for Foreign Nationals
• Passport size photo of all the persons who are part of the organization

Eligibility Criteria

• Non-profit organisation must register and operate in one of the following forms to obtain FCRA registration:
• PAN Card of Directors and/or Shareholders
• AADHAR Card of Directors and/or Shareholders
• Indian Trusts Act, 1882 as registered Trusts
• Societies Registration Act, 1860 as registered Society
• Companies Act, 2013 as a Section 8 company
• Must not be prohibited under the Foreign Contribution (Regulation) Act

Reasons for Prohibition

• Applicant is fictitious
• Applicant has been convicted by a court
• Applicant against whom prosecution is conducted
• Applicant is engaged in violent activities
• Applicant wants to use foreign contribution for personal purposes
• Applicant is prohibited under FCRA Act
• Applicant has contravened the provisions of FCRA Act
• Acceptance of foreign contribution is likely to affect the sovereignty and integrity of India
• Foreign contribution is likely to be used against the public purpose
• Acceptance of foreign contribution will lead to an offence
• Acceptance of foreign contribution will result in danger for the life and physical safety of any person

Requirements for Proper Registration

• Applicant must be registered and operating for a minimum period of 5 years
• The organization must have spent a minimum of 10 lakh in the last 3 years towards its objectives
• The applicant must submit the last 3 years financial statements
• Financial statements must be audited by a Chartered Accountant

Requirements for Prior Permission

• Foreign owner must be specified before application
• Funding must be for a specific purpose
• Amount of foreign contribution must be certain
• Foreign Contribution Bank Account must be opened
• Person granted Registration shall receive Foreign Contribution in a single A/c of a single bank branch
• Multiple accounts in multiple banks for utilising the Foreign Contribution received can be opened
• Except Foreign Contribution, nothing shall be received or deposited in such account or accounts

Reasons for Cancellation/Suspension

• NGO fails to comply with the Foreign Contribution (Regulation) Act, 2010
• Complaint filed against the organization for any malfunctioning or wrongdoings
• Foreign contribution is not used for the purpose stated in FCRA registration application
• Fails to submit Annual returns or financial statements

Steps to Register for FCRA

1. Fill our FCRA registration form online
2. Attach all the requisite papers & forms like PAN, Financial Statements, MOA & AOA, etc.
3. Enter relevant details like Address, registration number, Nature of association, objectives of association, etc.
4. Enter Bank Details like account number, IFSC Code, address, etc.
5. Make the payment
6. Issuance of FCRA registration (valid for 5 years)

At firststartup, we provide the following compliance and accounting work at a very competitive range:

• Maintenance of books of accounts
• Audit of books of accounts on an annual basis
• Annual Income Tax Filings
• Record of all foreign contributions