{"id":14622,"date":"2020-10-25T10:09:12","date_gmt":"2020-10-25T04:39:12","guid":{"rendered":"https:\/\/swaritadvisors.com\/learning\/?p=14622"},"modified":"2020-10-25T10:09:15","modified_gmt":"2020-10-25T04:39:15","slug":"benefits-and-types-of-fcra-registration-in-india","status":"publish","type":"post","link":"https:\/\/swaritadvisors.com\/learning\/benefits-and-types-of-fcra-registration-in-india\/","title":{"rendered":"Benefits and Types of FCRA Registration in India"},"content":{"rendered":"\n<p class=\"has-drop-cap\">The term <strong>\u201cFCRA\u201d<\/strong> refers to the Foreign Contribution Regulation Act, 2010. The world today so well connected and linked that grant accessibility to anyone has become very easy. As a result of this the flow of any foreign currency in and out of the country has become easy and natural. However, in order to keep a check on these flow of currency the ministry of Home Affairs brought changes in the Foreign Contribution Regulation Act, 2010.<\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_65 counter-hierarchy ez-toc-counter ez-toc-light-blue ez-toc-container-direction\">\n<p class=\"ez-toc-title\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a3b8db192305\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a3b8db192305\"  aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/swaritadvisors.com\/learning\/benefits-and-types-of-fcra-registration-in-india\/#Purpose_of_FCRA_Registration_in_India\" title=\"Purpose of FCRA Registration in India\">Purpose of FCRA Registration in India<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/swaritadvisors.com\/learning\/benefits-and-types-of-fcra-registration-in-india\/#Types_of_Registration_under_FCRA_2010\" title=\"Types of Registration under\nFCRA, 2010\">Types of Registration under\nFCRA, 2010<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/swaritadvisors.com\/learning\/benefits-and-types-of-fcra-registration-in-india\/#What_is_the_Eligibility_Criteria_for_FCRA_2010_in_India\" title=\"What is the Eligibility Criteria for FCRA, 2010 in India\">What is the Eligibility Criteria for FCRA, 2010 in India<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/swaritadvisors.com\/learning\/benefits-and-types-of-fcra-registration-in-india\/#1_Eligibility_for_Proper_Registration\" title=\"1. Eligibility for Proper Registration\">1. Eligibility for Proper Registration<\/a><ul class='ez-toc-list-level-4' ><li class='ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/swaritadvisors.com\/learning\/benefits-and-types-of-fcra-registration-in-india\/#Documents_Required_for_Proper_Registration\" title=\"Documents Required for Proper Registration\">Documents Required for Proper Registration<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/swaritadvisors.com\/learning\/benefits-and-types-of-fcra-registration-in-india\/#2_Eligibility_for_Prior_Permission_Registration\" title=\"2. Eligibility for Prior Permission Registration\">2. Eligibility for Prior Permission Registration<\/a><ul class='ez-toc-list-level-4' ><li class='ez-toc-heading-level-4'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/swaritadvisors.com\/learning\/benefits-and-types-of-fcra-registration-in-india\/#Documents_Required_for_Prior_Permission_Registration\" title=\"Documents Required for Prior Permission Registration\">Documents Required for Prior Permission Registration<\/a><\/li><\/ul><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/swaritadvisors.com\/learning\/benefits-and-types-of-fcra-registration-in-india\/#Documents_Required_for_the_FCRA_Registration_in_India\" title=\"Documents Required for the FCRA Registration in India\">Documents Required for the FCRA Registration in India<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/swaritadvisors.com\/learning\/benefits-and-types-of-fcra-registration-in-india\/#Benefits_of_FCRA_Registration_2010\" title=\"Benefits of FCRA\nRegistration, 2010\">Benefits of FCRA\nRegistration, 2010<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/swaritadvisors.com\/learning\/benefits-and-types-of-fcra-registration-in-india\/#Conclusion\" title=\"Conclusion\">Conclusion<\/a><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Purpose_of_FCRA_Registration_in_India\"><\/span>Purpose of FCRA Registration in India<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<div class=\"wp-block-image\"><figure class=\"aligncenter is-resized\"><img decoding=\"async\" loading=\"lazy\" src=\"https:\/\/swaritadvisors.com\/learning\/wp-content\/uploads\/2020\/10\/Objective-of-FCRA-Registration.jpg\" alt=\"FCRA purpose\" class=\"wp-image-14624\" width=\"527\" height=\"407\" srcset=\"https:\/\/swaritadvisors.com\/learning\/wp-content\/uploads\/2020\/10\/Objective-of-FCRA-Registration.jpg 744w, https:\/\/swaritadvisors.com\/learning\/wp-content\/uploads\/2020\/10\/Objective-of-FCRA-Registration-300x232.jpg 300w\" sizes=\"(max-width: 527px) 100vw, 527px\" \/><\/figure><\/div>\n\n\n\n<p>The Foreign Contribution Regulation Act, 2010 was enacted with a view to achieve the following objectives:<\/p>\n\n\n\n<ul><li>To\nprohibit certain entities from accepting any foreign contributions,<\/li><li>To\nrestrict certain entities from accepting any foreign hospitality,<\/li><li>To\ngovern any acceptance of foreign contribution by any such person having a\ndefinite cultural social economic or educational background.<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Types_of_Registration_under_FCRA_2010\"><\/span>Types of Registration under\nFCRA, 2010<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>There are two ways by which registration under FCRA, 2010 can\nbe done in order to receive any kind of foreign contribution:<\/p>\n\n\n\n<ul><li>Proper Registration: <a href=\"https:\/\/fcraonline.nic.in\/FC3.aspx?Resp_Id=1\">https:\/\/fcraonline.nic.in\/FC3.aspx?Resp_Id=1<\/a><\/li><li>Prior Permission: <a href=\"https:\/\/fcraonline.nic.in\/FC3.aspx?Resp_Id=6\">https:\/\/fcraonline.nic.in\/FC3.aspx?Resp_Id=6<\/a><\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What_is_the_Eligibility_Criteria_for_FCRA_2010_in_India\"><\/span>What is the Eligibility Criteria for FCRA, 2010 in India<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"1_Eligibility_for_Proper_Registration\"><\/span>1. Eligibility for Proper Registration<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<ul><li>In order to grant registration under FCRA, 2010 an association must be registered under any existing statute like the <strong>Societies Registration Act, 1860<\/strong> or under section 8 of Companies Act, 2013 or the Indian Trusts Act, 1882.<\/li><li>The organisation shall be in existence for at least 3 years.<\/li><li>The applicant should be involved in a reasonable activity for the betterment of <strong><a href=\"https:\/\/swaritadvisors.com\/society-registration\">society<\/a><\/strong> for which foreign contribution is to be required.<\/li><li>The applicant must submit copies of financial statements at least 3 years duly audited by the concerned authority.<\/li><li>Once done with the proper registration the certificate provided is known as a Permanent Certificate which is valid for up to 5 years.<\/li><\/ul>\n\n\n\n<h4 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Documents_Required_for_Proper_Registration\"><\/span>Documents Required for Proper Registration<span class=\"ez-toc-section-end\"><\/span><\/h4>\n\n\n\n<ul><li>Signature of Chief Functionary in JPG format,<\/li><li>Self Certified copy of Trust Deed or Registration Certificate of the Association,<\/li><li>Self-certified copy of Memorandum of Association and Article of Association focusing on the aims and objectives of the association.<\/li><li>Detailed activity report of the last three years.<\/li><li>Audited statements of the bank account for the last three years showing all the expenditures.<\/li><\/ul>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"2_Eligibility_for_Prior_Permission_Registration\"><\/span>2. Eligibility for Prior Permission Registration<span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<ul><li>Ideal for any newly registered organization which would like to receive foreign contributions.<\/li><li>The association must be registered under any existing statute like Societies Registration Act, 1860, or Section 8 of the Companies Act, 2013 or The Indian Trust Act, 1882.<\/li><li>The fund received must be used for the benefit of society.<\/li><li>Must submit a specific commitment letter granted from the donor to the Ministry of Home Affairs indicating-<\/li><li>Amount of contribution given,<\/li><li>The purpose for which the amount is to be given.<\/li><\/ul>\n\n\n\n<ul><li>In case of an Indian recipient organization and foreign donor organization having common members, the <strong><a href=\"https:\/\/swaritadvisors.com\/fcra-registration\">FCRA registration<\/a><\/strong> permission is to be granted to the Indian recipient organization if:-<\/li><\/ul>\n\n\n\n<ol><li>If the Chief Functionary of the recipient organization is not part of the donor organization,<\/li><li>A minimum of 75% of the members of the Governing Body of the recipient organization should not be a member of the donor organization.<\/li><\/ol>\n\n\n\n<h4 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Documents_Required_for_Prior_Permission_Registration\"><\/span>Documents Required for Prior Permission Registration<span class=\"ez-toc-section-end\"><\/span><\/h4>\n\n\n\n<ul><li>Signature of Chief Functionary in JPG format.<\/li><li>Certified copy of the <strong><a href=\"https:\/\/swaritadvisors.com\/trust-registration\">Trust<\/a><\/strong> Deed or Registration Certificate of the Association.<\/li><li>Duly signed a letter of commitment from Donor.<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Documents_Required_for_the_FCRA_Registration_in_India\"><\/span>Documents Required for the FCRA Registration in India<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<div class=\"wp-block-image\"><figure class=\"aligncenter is-resized\"><img decoding=\"async\" loading=\"lazy\" src=\"https:\/\/swaritadvisors.com\/learning\/wp-content\/uploads\/2020\/10\/Documents-Required-for-the-FCRA-Registration-in-India.png\" alt=\"FCRA Documents\" class=\"wp-image-14625\" width=\"454\" height=\"454\" srcset=\"https:\/\/swaritadvisors.com\/learning\/wp-content\/uploads\/2020\/10\/Documents-Required-for-the-FCRA-Registration-in-India.png 1000w, https:\/\/swaritadvisors.com\/learning\/wp-content\/uploads\/2020\/10\/Documents-Required-for-the-FCRA-Registration-in-India-150x150.png 150w, https:\/\/swaritadvisors.com\/learning\/wp-content\/uploads\/2020\/10\/Documents-Required-for-the-FCRA-Registration-in-India-300x300.png 300w, https:\/\/swaritadvisors.com\/learning\/wp-content\/uploads\/2020\/10\/Documents-Required-for-the-FCRA-Registration-in-India-768x768.png 768w\" sizes=\"(max-width: 454px) 100vw, 454px\" \/><\/figure><\/div>\n\n\n\n<ul><li>Registration Certificate of Association (Self-certified Copy),<\/li><li>Self-certified copy of Memorandum of Association,<\/li><li>Self-certified copy of Article of Association or a Trust deed,<\/li><li>Details of activities for the last three years,<\/li><li>Audited account statements for the last three years is to be shown,<\/li><li>Registration Certificate under Section 12 A.<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Benefits_of_FCRA_Registration_2010\"><\/span>Benefits of FCRA\nRegistration, 2010<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The purpose of the FCRA commonly termed as Foreign Contribution Regulation Act, 2010 is to help those organizations which work for the benefit and betterment of society and is involved in social work such as NGO\u2019s. Below are some of the benefits of FCRA registration:-<\/p>\n\n\n\n<ul><li>Helps in legally receiving any foreign contribution or government aid if registered under FCRA, 2010,<\/li><li>As per section 8 of the Companies Act, 2013 any company or <strong><a href=\"https:\/\/swaritadvisors.com\/ngo-registration\">NGO<\/a><\/strong> or public trust registered under FCRA, 2010 can receive donations from foreign bodies. Some of them are:-<\/li><li>Oxfam <\/li><li>UNESCO<\/li><li>Infinity Foundation<\/li><li>British High Commission<\/li><li>Canada High Commission<\/li><li>New Zealand High Commission<\/li><li>Ford Foundation<\/li><li>SWISSAID<\/li><li>AUSAID<\/li><li>European Commission<\/li><li>BORDA<\/li><li>GIFRID<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Conclusion\"><\/span>Conclusion<span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Thus, it can be noted that the burden of the onus of getting registered under FCRA (Foreign Contribution Regulation Act, 2010) lies on the NGO\u2019s or any other such association. <\/p>\n\n\n\n<p>Therefore, before accepting any such foreign contribution or funds it is the responsibility of such associations to ensure that all the formalities are complied with and thus registration is granted for any foreign exchange.<\/p>\n\n\n\n<p><b>Also, Read our Article:<\/b> <mark style=\"background: #fffd03 !important;\"><a href=\"https:\/\/swaritadvisors.com\/learning\/is-ngo-a-profitable-business-a-complete-overview\/\"><\/a>Is NGO a profitable business?<\/mark><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The term \u201cFCRA\u201d refers to the Foreign Contribution Regulation Act, 2010. The world today so well connected and linked that grant accessibility to anyone has become very easy. As a result of this the flow of any foreign currency in and out of the country has become easy and natural. However, in order to keep [&hellip;]<\/p>\n","protected":false},"author":23,"featured_media":14628,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":[],"categories":[669],"tags":[],"_links":{"self":[{"href":"https:\/\/swaritadvisors.com\/learning\/wp-json\/wp\/v2\/posts\/14622"}],"collection":[{"href":"https:\/\/swaritadvisors.com\/learning\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/swaritadvisors.com\/learning\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/swaritadvisors.com\/learning\/wp-json\/wp\/v2\/users\/23"}],"replies":[{"embeddable":true,"href":"https:\/\/swaritadvisors.com\/learning\/wp-json\/wp\/v2\/comments?post=14622"}],"version-history":[{"count":16,"href":"https:\/\/swaritadvisors.com\/learning\/wp-json\/wp\/v2\/posts\/14622\/revisions"}],"predecessor-version":[{"id":14683,"href":"https:\/\/swaritadvisors.com\/learning\/wp-json\/wp\/v2\/posts\/14622\/revisions\/14683"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/swaritadvisors.com\/learning\/wp-json\/wp\/v2\/media\/14628"}],"wp:attachment":[{"href":"https:\/\/swaritadvisors.com\/learning\/wp-json\/wp\/v2\/media?parent=14622"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/swaritadvisors.com\/learning\/wp-json\/wp\/v2\/categories?post=14622"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/swaritadvisors.com\/learning\/wp-json\/wp\/v2\/tags?post=14622"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}