Section 2 - Definitions

Foreign contribution definition expanded to include donations, securities, and interest while excluding ordinary business receipts and fees.

Foreign contribution covers donations, deliveries or transfers by any foreign source of articles (subject to specified personal gift limits), currency and securities; interest and income derived from foreign contribution are also treated as foreign contribution, whereas ordinary business receipts and fees (including fees from foreign students) for goods or services in the ordinary course of business are excluded. The Act also treats onward transfers of such items by recipients as foreign contribution and specifies categories of foreign source, including foreign governments, foreign companies, multinational corporations and other foreign entities, with a proviso excluding companies within foreign investment limits.