Online FCRA Registration for NGO
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FCRA Registration for Foreign Donations - Fees ,Eligibility and Documents
FCRA registration is essential for Non-Profit Organizations (NPOs) in India to receive and monitor foreign donations. If you’re a registered NGO, Charitable Trust, or Section 8 Company seeking foreign donations, you must register under the Foreign Contribution Regulation Act (FCRA).
This registration allows NPOs to receive funds from foreign sources directly into their FCRA account. Organizations that provide significant support to specific groups of people are eligible to receive donations from Foreign Funding Agencies.
Understanding FCRA, foreign contributions, and the registration process is crucial for NPOs seeking to receive foreign funding.
What is FCRA?
FCRA, or the Foreign Contributions Regulation Act, regulates the acceptance of foreign contributions by organizations in India. Enacted in 1976, FCRA requires NGOs and charitable organizations to register with the state department before receiving funds from sources outside the country.
The law was introduced amid concerns during the Emergency in 1976 about foreign interference in India’s affairs through financial support to various organizations. The FCRA aimed to consolidate and regulate the use of foreign funds, ensuring they were used only for activities deemed in the national interest. This Act increased government oversight and scrutiny of NGO transactions involving foreign sources.
Eligibility criteria for FCRA registration?
In order to register under the Foreign Contribution Regulation Act (FCRA), the Association must fulfill the following criteria:
- The FCRA registration guidelines require that the Association should be a non-profit organization and must be registered under one of the Indian societies laws:
- The Indian Societies Registration Act, 1860 or
- The Indian Trusts Act, 1882 or
- Section 25 of the Companies Act, 1956
- The Association should have been founded with a commitment to social improvement in India and must have completed three years of operation before applying for FCRA registration.
- To be eligible for FCRA registration, the Organisation must have spent at least Rs. 15 Lakh on its core operations for the benefit of society during the course of the last three financial years.
- Statements of Income & Expenditure duly audited by chartered accountants are to be submitted to substantiate that it meets these financial parameters.
- The Organisation must have utilized at least 80% of the foreign contribution on its core activities. Not more than 20% of the funds can be utilized for administrative expenses. For all administrative expenses beyond 20%, central government clearance is required.
- FCRA registration is compulsory for NGOs that receive foreign donations of more than Rs. 15 lakhs per year.
- NGOs that want to receive foreign donations of more than Rs. 1 crore per year must obtain prior permission from the Ministry of Home Affairs.
Documents required for FCRA registration
The following documents are required To register your NGO under the Foreign Contribution Regulation Act (FCRA),
Normal FCRA Registration
- Registration Certificate of Association
- Memorandum of Association/ Trust Deed
- The audited statement of accounts for the last three years
- Activity Report for the last 3 years.
- NGO Darpan ID from the NITI Aayog portal
- Adhaar Card of all the office bearers
Prior Permission FCRA Registration
- Registration Certificate of Association
- Memorandum of Association/Trust Deed
- Darpan ID from the NITI Aayog portal
- Adhaar Card of all the office bearers
- Commitment letter from the donor organization and agreement
- Project report for which FC will be received
Mandatory Requirements for FCRA Registration
Darpan ID
Darpan ID is now mandatory to be filled in the FC-3 Forms during FCRA registration. You can obtain a Darpan ID from the NITI Aayog portal.
FCRA Bank Account
You must have an FCRA account opened in the SBI New Delhi Main Branch, in which you will receive donations from foreign sources.
Adhaar Card
Adhaar card of key officials is mandatory for FCRA application. A passport or OCI is required in case the member is a foreigner operating the Organisation in India.