FCRA Registration Eligibility

Foreign contribution can be received only by such associations which are carrying out definite cultural, economic, educational, religious or social programmes.  There are two modes of obtaining permission under FCRA:

            I           Registration

            II         Prior Permission

I        Registration

Application for grant of registration to accept foreign contribution are to be made to the Ministry of Home Affairs in prescribed form FC-8, which can be down loaded from MHA’s website www.mha.nic.in/fcra.htm.  On receipt of the application, the same is processed by the MHA as per the provisions of Act and guidelines issued for grant of Registration.  The registration is granted only to such associations which are doing genuine work in their chosen field of activity and are clear from security angle.

The normal time taken for final disposal of an application is about four months for the associations, which are not able to furnish verification certificate from Collector of the concerned District or other officers not below the rank of Deputy Secretary of the concerned Department/Ministry in the State Government/Central Government.   The associations, which submit the verification certificate on prescribed format, are granted registration within a fortnight of submission of the application.

Once registration is granted, the association may receive foreign contribution from any foreign source and it is required to furnish annual returns regarding receipt and utilization of foreign contribution to the Ministry of Home Affairs (Foreigners Division) on the prescribed FC-3 form duly certified by a Chartered Accountant.  This must be submitted before 31st July of the following financial year.

II.      Prior Permission

Application for grant of Prior Permission (PP) can be submitted in prescribed form   FC-1A to the Ministry of Home Affairs, which can be down loaded from Ministry of Home Affairs’ website http://mha.nic.in/fcra.htm.  For this a commitment letter from the donor foreign source for funding specific project/scheme is mandatory to be submitted along with the application form.  On receipt of the application, the same is processed by the Ministry as per the provisions of Act and guidelines issued thereunder.  Prior Permission is granted to such associations which are new or in formative stage but are carrying out some programmes in the area of cultural, economic, educational, religious or social field of activities.

The normal time taken for final disposal of an application is about 3 months (extendable to four months) for the associations, which are not able to furnish verification certificate from Collector of the concerned District or other officers not below the rank of Deputy Secretary of the concerned Department/Ministry in the State Government/Central Government.      For the associations which submit such verification certificate, Prior Permission is  granted within a fortnight of submission of the application.

­Once Prior Permission is granted, the association may receive foreign contribution from particular foreign source for particular purpose within a reasonable time limit.  In such cases donor and donee are specific and amount of FC receipt can be utilized for the particular purpose only for which the permission has been sought.  Such associations are required to furnish annual returns regarding receipt and utilization of foreign contribution to the Ministry of Home Affairs (Foreigners Division) in prescribed FC-3 form duly certified by a Chartered Accountant.  This has to be submitted before 31st July of the following financial year.

If during a particular financial year, an association applies for Prior Permission for second or subsequent time, it is required to furnish details of receipt and utilization of foreign contribution received earlier.