TaxTMI 
TaxTMI 
Foreign Contribution (Regulation) Act, 2010 (42 of 2010),
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....tion" means section of the Act; (e) "year" means the financial year commencing from the1^st day of April and ending on the 31^st day of March of the next calendar year; (2) Words and expressions used and not defined herein, but defined in the Act shall have the meaning assigned to them in the Act. 3. Guidelines for declaration of an organisation to be of a political nature, not being a political party. - The Central Government may specify any organisation as organisation of political nature on one or more of the following grounds:- (i) organisation having avowed political objectives in its Memorandum of Association or bylaws; (ii) any Trade Union whose objectives include activities for promoting political goals; (iii) any voluntary action group with objectives of a political nature or which comments upon or participates in political activities; (iv) front or mass organisations like Students Unions, Workers' Unions, Youth Forums and Women's wing of a political party; (v) organisation of farmers, workers, students, youth based on caste, community, religion, language or otherwise, w....
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.... other utilities: Provided that the expenditure incurred on salaries or remuneration of personnel engaged in training or for collection or analysis of field data of an association primarily engaged in research or training shall not be counted towards administrative expenses: Provided further that the expenses incurred directly in furtherance of the stated objectives of the welfare oriented organization shall be excluded from the administrative expenses such as salaries to doctors of hospital, salaries to teachers of school etc. 6. Intimation of receiving foreign contribution from relatives. - Any person receiving foreign contribution in excess of one lakh rupees or equivalent thereto in a financial year from any of his relatives shall inform the Central Government in Form FC-1 within thirty days from the date of receipt of such contribution. 7.Receiving foreign hospitality by specified categories of persons. - (1) Any person belonging to any of the categories specified in section 6 who wishes to avail of foreign hospitality shall apply to the Central Government in Form FC-2 for prior permission to accept such foreign hospitality. (2) Every application for acceptan....
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....ociation, on the outer door or some other conspicuous part of the premises in which the office of that organisation or association is located, or is known to have been last located, and the written report whereof should be witnessed by at least two persons. 9. Application for obtaining 'registration' or 'prior permission' to receive foreign contribution. - (1) (a) Any application under sub-section(1) of section11 for registration of a person for acceptance of foreign contribution shall be made electronically on-line in Form FC-3, and shall be followed by forwarding the hard copy of the on-line application duly signed by the Chief Functionary of the association together with the required documents. (b) The hard copy of the on-line application referred in clause (a) shall reach the Central Government within thirty days of the submission of the on-line application, failing which the request of the person shall be deemed to have ceased. (c) Any person whose request was ceased under clause (b) of sub-rule (1) may prefer a fresh on-line application with the Central Government only after six months from the date of c....
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....f Home Affairs", payable at New Delhi. (5) Notwithstanding anything contained in sub-rules (1) to (4),every application made for registration or prior permission under the Foreign Contribution (Regulation) Act, 1976 (49 of 1976) but not disposed of before the date commencement of these rules, shall be deemed to be an application for registration or prior permission under the Act, as the case may be under these rules, subject to the condition that the applicant furnishes the prescribed fees for such registration or prior permission, as the case may be. 10. Validity of Certificate. - Every certificate of registration granted to a person under the Act shall be valid for a period of five years from the date of its issue. 11. Renewal of registration certificate. - (1) Every certificate issued to a person shall be renewed after the expiry of five years from the date of its issue on proper application. (2) For renewal of certificate every person shall apply to the Central Government in Form FC-5, six months before the date of expiry of the certificate. (3) An application made for renewal of the certificate shall be accompanied by a fee of ru....
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.... has been granted receives foreign contribution in excess of one crore rupees or equivalent thereto in a financial year, shall keep in the public domain the summary data on receipts and utilisation of foreign contribution pertaining to the year of receipt as well as for one year thereafter and the Central Government shall also display or upload the summary data of such persons with the public through its website. 13. Extent of amount to be utilised in case of suspension of certificate of registration. - The utilisation of amount in case of suspension of certificate may be as under: - (a) In case the certificate of registration is suspended under sub-section (1) of section 13 of the Act, the unutilised amount upto twenty five per cent. may be spent with the prior approval of the Central Government for the declared aims and objects for which the foreign contribution was received. (b) The remaining seventy-five per cent. of the unutilised foreign contribution shall be utilised only after revocation of suspension of the certificate of registration. 14. Custody of foreign contribution in respect of person whose certificate has been cancelled. -(1) The amount of f....
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....a) Name and address of the donor. (b) Name and address of the recipient. (c) Account number. (d) Name of the Bank and Branch. (e) Amount of foreign contribution (in foreign currency as well as Indian Rupees). (f) Date of receipt. (g)Manner of receipt of foreign contribution (cash/cheque/electronic transfer etc.). 16. Intimation of foreign contribution by the recipient. - (1) Every person who receives foreign contribution under the Act shall submit a report in Form FC-6 accompanied by an income and expenditure statement, receipt and payment account and balance sheet for every financial year beginning on the 1^st day of April within nine months of the closure of the financial year, to the Secretary to the Government of India, Ministry of Home Affairs, New Delhi. (2) The annual return in Form FC-6 shall reflect the foreign contribution received in the exclusive bank account and include the details in respect of the funds transferred to other bank accounts for utilisation. (3) If the foreign contribution relates only to articles, the intimation shall be submitted in Form FC-7. (4) If the foreign contribution relates to foreign securit....
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....iling charge sheet, court before which it has been filed, progress of trial, date of Judgment and the conclusion of each case. 22. Authority to whom an application or intimation to be sent. -Any application or intimation to be made by any person about political or speculative activity of an organisation on the ground and activities as mentioned in rule 3 and rule 4, as the case may be, shall be made to the Secretary to the Government of India in the Ministry of Home Affairs, New Delhi and such application or intimation shall be forwarded by registered post. 23. Procedure for transferring foreign contribution to other registered or unregistered persons. -(1) Any person intending to transfer the foreign contribution may make an application to the Central Government in Form FC-10. (2) The Central Government may permit the transfer in respect of a person who has been granted the certificate of registration or prior permission under section 11 of the Act, in case the recipient person has not been proceeded against under any provision of the Act. (3) Any transfer of foreign contribution shall ....
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....(iii) any voluntary action group with objectives of a political nature or which comments upon or participates in political activities; (iv) front or mass organisations like Students Unions, Workers' (v) Unions, Youth Forums and Women's wing of a political party; organisation of farmers, workers, students, youth based on caste, community, religion, language or otherwise, which is not directly aligned to any political party, but whose objectives, as 2 4. stated in the Memorandum of Association, or activities gathered through other material evidence, include steps towards advancement of larger socio-economic or political interests of the organisation; (vi) any organisation, by whatever name called, which habitually engages itself in or employs common methods of political action like 'bandh' or ‘hartal', ‘rasta roko', ‘rail roko', ‘jail bharo' etc in support of public causes. Speculative activities. - (1) The following activities shall be treated as speculative activities:- (a) any activity or investment that has an element of risk of (b) (2) appreciation or depreciation of the original investm....
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....ial year from any of his relatives shall inform the Central Government in Form FC-1 within thirty days from the date of receipt of such contribution. 15 7. Receiving foreign hospitality by specified categories of persons. - (1) Any person belonging to any of the categories specified in section 6 who wishes to avail of foreign hospitality shall apply to the Central Government in Form FC-2 for prior permission to accept such foreign hospitality. (2) Every application for acceptance of foreign hospitality shall be accompanied by an invitation letter from the host or the host country, as the case may be, and administrative clearance in case of visits sponsored by a Ministry of department of the Government. (3) The application for grant of permission to accept foreign hospitality shall be made to the appropriate authority at least two weeks before the proposed date of onward journey: Provided that in case of any emergency or urgency, the appropriate authority may accept the application, if he is satisfied that there are adequate reasons for accepting such application. (4) In case of emergent medical aid needed on account of sud....
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....rm FC-3, and shall be followed by forwarding the hard copy of the on-line application duly signed by the 8 Chief Functionary of the association together with the required documents. (b) The hard copy of the on-line application referred in clause (a) shall (c) (d) (e) reach the Central Government within thirty days of the submission of the on-line application, failing which the request of the person shall be deemed to have ceased. Any person whose request was ceased under clause (b) of sub-rule (1) may prefer a fresh on-line application with the Central Government only after six months from the date of cessation of the previous application. A person seeking registration shall be required to open an exclusive bank account to receive foreign contribution. The person may, however, open one or more accounts in one or more banks for the purpose of utilising the foreign contribution after it has been received and, in all such cases, intimation on plain paper shall be furnished to the Secretary, Ministry of Home Affairs, New Delhi within fifteen days of opening of any account. 9 (2) (a) Any application under sub-sectio....
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.... that the applicant furnishes the prescribed fees for such registration or prior permission, as the case may be. 11 10. Validity of Certificate. - Every certificate of registration granted to a 11. person under the Act shall be valid for a period of five years from the date of its issue. Renewal of registration certificate. - (1) Every certificate issued to a person shall be renewed after the expiry of five years from the date of its issue on proper application. (2) For renewal of certificate every person shall apply to the Central Government in Form FC-5, six months before the date of expiry of the certificate. (3) An application made for renewal of the certificate shall be accompanied by a fee of rupees five hundred only. (4) The fee for renewal of the certificate of registration shall be remitted by demand draft or banker's cheque in favour of the "Pay and Accounts Officer, Ministry of Home Affairs", payable at New Delhi. (5) In case no application for renewal of registration is received or such application is not accompanied by the requisite fee, the validity of the registration certificate of such person shall b....
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....e foreign contribution was received. 14 (b) The remaining seventy-five per cent. of the unutilised foreign contribution shall be utilised only after revocation of 14. suspension of the certificate of registration. Custody of foreign contribution in respect of person whose certificate has been cancelled. - (1) The amount of foreign contribution lying unutilised in the exclusive foreign contribution bank account of a person whose certificate of registration has been cancelled shall vest with the banking authority concerned till the Central Government issues. further directions in the matter. (2) If a person whose certificate of registration has been cancelled transfers the foreign contribution to any other person, the clause (a) of rule 12 of these rules shall apply to the person to whom the fund has been transferred. (3) In case the person whose certificate has been cancelled or such person ceases to exist or has become defunct and that person is in possession of any moveable and immovable assets acquired with the foreign contribution, the same shall not be disposed of in any manner and interim custody of such assets ....
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....nt of India, Ministry of Home Affairs, New Delhi. (2) The annual return in Form FC-6 shall reflect the foreign contribution received in the exclusive bank account and include the details in respect of the funds transferred to other bank accounts for utilisation. (3) If the foreign contribution relates only to articles, the intimation shall be submitted in Form FC-7. (4) If the foreign contribution relates to foreign securities, the intimation shall be submitted in Form FC-8. (5) Every report submitted under sub-rules (2) to (4) shall be duly certified by a chartered accountant. (6) Every such return in Form FC-6 shall also be accompanied by a copy of a statement of account from the bank where the exclusive foreign contribution account is maintained by the person, duly certified by an officer of such bank. (7) A 'NIL' report shall be furnished even if no foreign contribution is received during a financial year. 17. Foreign contribution received by a candidate for election. - Foreign contribution received by a candidate for election, referred to in section 21, 18 shall be furnished in Form FC-9 within forty-five ....
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....ered persons. - (1) Any person intending to transfer the foreign contribution may make an application to the Central Government in Form FC-10. (2) The Central Government may permit the transfer in respect of a person who has been granted the certificate of registration or prior permission under section 11 of the Act, in case the recipient person has not been proceeded against under any provision of the Act. 20 20 (3) Any transfer of foreign contribution shall be reflected in Form FC-6 returns as well as in Form FC-10 by the transferor and the recipient. (4) In case the foreign contribution is proposed to be transferred to a person who has not been granted a certificate of registration or prior permission by the Central Government, the person concerned may apply for permission to the Central Government to transfer a part of the foreign contribution, not exceeding ten per cent. of the total value of the foreign contribution received. 21 FORM FC-I [See rule 6] The Secretary to the Government of India, Ministry of Home Affairs, FCRA Wing/Foreigners Division, "Jaisalmer House", 26, Mansingh Road, New Delhi - 110 ....
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....ution/Association/Trust/Foundation/Trade 23 25 Union etc., full particulars thereof including - (i) Full name and complete address: (ii) Address of Head office/Principal office: (iii) Aims and Objects: (iv) Particulars of important office bearers: 12. @Full particulars, as in Column 11(a) and (b) of the foreign source, in case the actual source extending the hospitality is located in a country other than actually proposed to be visited: 13. Nature and duration of foreign hospitality* proposed to be accepted with specific dates and with specific details: 14. Nature of connection/dealing with the host and/or foreign source extending the hospitality: 15. Approximate expenditure to be incurred on hospitality: 16. Any other information of significance which the applicant may like to furnish: DECLARATION I hereby declare that the above particulars furnished by me are true and correct. Place: Date: Delete if not applicable. Signature of Applicant 24 24 FORM FC-3 [See rule 9 (1) (a)] No The Secretary to the Government of India, Ministry of Home Affairs, FCRA Wing/Foreigners Division, "Jaisalmer ....
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....he Association, including the Chief Functionary has, in the discharge of his/her official functions or private conduct: (a) been convicted by any court of law: (b) a prosecution for any offence pending against him/her: (c) been found guilty of diversion or mis-utilisation of funds of the Association or any other Association in the past: (d) has not been prohibited from accepting foreign contribution: (e) is a Member or Chief Functionary of any other Association against whom an order under section 13 or 14 of the Foreign Contribution (Regulation) Act, 2010 (42 of 2010) has been passed: 4. Whether the applicant Association: (a) is a branch/unit/associate of foreign based organisation or another Association already registered or granted prior permission under the Act. If so, name and address of the parent organisation should be furnished: (b) attracts section 10 of the Act, if so details of the order passed by the Central Government: (c) section 11(3) of the Act: (c) has been directed in terms of section 9 (a) of the Act to seek prior permission by the Central Government. If so, the number and date of the relevant order: (d) had....
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....: 8. Details of: (i) the activities of the Association during the past three years: (ii) the audited statement of accounts of the Association for the past three years: (iii) the area(s) of operation: 9. Whether the Association has been specified as an organisation of a political nature, not being a political party, under section 5 of the Act. If so, the details of the notification should be furnished: 10. Details of Bank: (i) the name and address of the branch of the bank through which the foreign contribution shall be received: (ii) the account number in the said branch of the bank: 11. Whether the Organisation/Association has been blacklisted/debarred from receiving any aid &/or assistance by any other Ministry/Department of Central Government and/or State Government or Statutory Authority, if so the details thereof: 27 12. Whether a recommendation certificate from any competent authority is attached, (and if so, the details): 13. Any other information, which the Association may like to furnish: Yours faithfully, Signature of the Chief Functionary [Name of the Chief Functionary in block letters] (Seal of the Associati....
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.... certify that the registered office at welfare activities in its chosen (Name of the Association) having its (Address) has been engaged in undertaking (Economic, Educational, Cultural, Religious and Social)Ⓡ field, that is, aims and objects. The antecedent of the Association and the Member(s) of the Executive Committee / Governing Council (including the Chief Functionary) has been verified and nothing adverse has come to notice. 2. It has undertaken commendable welfare activities in the area and has incurred substantial expenditure (excluding administrative expenditure) amounting to Rs during the last three years on its chosen Social) field of activity. (Economic, Educational, Cultural, Religious and 3. Grant of registration to the aforementioned Association to accept foreign contribution under the Foreign Contribution (Regulation) Act, 2010 (42 of 2010) is recommended. (Recommending Authority)** (Seal of the Recommending Authority) @ Strike out which is not applicable ** (i) District Collector / District Magistrate (ii) Ministry/Department of the State Government (iii) Ministry/Department of the Central Go....
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....r Member(s) of the Exe. Council/ Governing body (vi.) If this association is branch/unit/associate of any organisation based abroad or of another association already registered or granted prior permission under the Act, the name and address of the parent organisation: 2. Details of Fee: An amount of Rs. words (Rupees in towards obtaining prior permission for receipt of foreign contribution is remitted by way of demand draft/bankers cheque drawn in favour of "Pay and Accounts Office, Ministry of Home Affairs viz. DD No. dated Name Bank of the 3. Whether any Member of the Executive Committee /Governing Council etc. of the Association, including the Chief Functionary has, in the discharge of his/her official functions or private conduct**: (a) been convicted by any court of law: (b) a prosecution for any offence pending against him/her: (c) been found guilty of diversion or mis-utilisation of funds of the Association or any other Association in the past: (d) has not been prohibited from accepting foreign contribution: 4. Whether: (i) the Association ever applied for registration under the Foreign....
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.... of the bank branch and bank account number in which deposited should be furnished: (b) said violation has been condoned by the Central Government: 7. I affirm that the applicant Association is not an owner, printer, publisher, editor of a publication which is a registered as “newspaper" under the Press and Registration of Books Act, 1867 (25 of 1867). 8. I affirm that the applicant association is not engaged in the production or broadcast of audio/visual news or current affairs programmes through any electronic mode, or any other electronic form as defined in clause (r) of sub-section (1) of section 2 of the Information Technology Act, 2000 (21 of 2000) or any other mode of mass communication. 33 9. I affirm that the Organisation/Association has not been blacklisted/debarred from receiving any aid &/or assistance by any other Ministry/Department of Central and/or State Government or Statutory Authority. 10. I am enclosing the documents showing the detailed activities of the association during the past three years. 11. I am enclosing the copies of audited statement of accounts of the association for the past three years duly c....
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....ce the office-bearer(s) has been granted. (iii) not to change the Bank and/or branch of the Bank without prior permission of the Central Government [the reason(s) for change of bank or branch of the bank shall have to be relevant and justifiable] and, Note: Proforma for change of Bank (or in the branch of the existing bank where exclusive foreign account number is being maintained) or Bank account is available in Ministry of Home Affairs web site (iv) not to accept any foreign contribution unless either registration certificate, as applied for hereinabove, or prior permission of the Central Government under the Foreign Contribution (Regulation) Act, 2010 (42 of 2010) is granted. Place: Date: List of enclosures attached with this application: 1. 23 2. 3. Signature of the Chief Functionary [Name of the Chief Functionary in block letters] (seal of the Organisation/Association) 35 555 Instructions for filling up the form: * Please strike off which ever is not applicable. The same instruction applies in respect of choices provided elsewhere in this form. ** If any of the replies to the four parts in item 3 is â....
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....al of ‘registration certificate' under section 13 of the Foreign Contribution (Regulation) Act, 2010 (42 of 2010). (Application for renewal to be submitted before six months from the date of expiry of certificate of registration): Dear Sir, I on behalf of the Association named hereafter apply for seeking renewal of 'registration certificate', as per details given below: 1. Name of the Association and its complete postal address: (a)Name: (b)Address: Town/City: District: State: Pin Code: (c) Telephone No. of the Association (with STD code): (d) Telephone no. (with STD code) / Mobile no. ~ of The Chief Functionary: (e) e-Mail address: 2. Nature of Association: 3. Registration number: (a) place of registration: (b) date of registration: (c) Date of expiry: (d)PAN No., if any (certified copy of the registration certificate to be attached). 4. Foreign Contribution received, if any, since its registration with yearly breakup: 5. Details of Utilisation of funds: 6. Whether various provisions as stipulated in Foreign Contribution (Regulation) Act adhered to: 7. Reasons for seeking renewal of certifica....
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.... Receipt during the year (in Rupees) Utilised Balance As first As recipient second/su Total bsequent recipient In cash In kind In In In In 5+6+7 (value) cash kind cash kind +8 In cash In kind (value) In cash In kind (value) 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 39 social forestry projects. 8. Animal husbandry projects. 9. Income generation projects / schemes. 10. Micro-finance projects, including setting up banking co-operatives and self-help groups. 11. Agricultural activity. 12. Rural Development. 13. Construction and maintenance of school/college. 14. Construction and running of hostel for poor students. 15. Grant of stipend / scholarship / assistance in cash and kind to poor deserving children. 16. Purchase and supply of educational material books, notebooks etc. 17. Conducting adult literacy programs. 18. Education/Schools for the mentally challenged. 19. Non-formal education projects/ coaching classes. 20. Construction / Repair / Maintenance of places of worship. 21. ....
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....(Furnish details). Total Caution: Submission of false information or concealment of material facts shall attract the relevant provisions of The Foreign Contribution (Regulation) Act, 2010 (42 of 2010), warranting appropriate action 4.. Name and address of the designated branch of the Bank and account number (as specified in the application for registration/prior permission or permitted by the Central Government). A/c No: Bank:.. Branch: Address: 41 5. Donor wise receipt of foreign contribution: SI. No. Institutional / individual/ Name(s) & Purpose(s) Date & month of receipt Amount other donors address(es) 1. 2. 3. 4. 5. 6. (i) From institutional donors: (ii) From individual donor(s), above Rupees One lac: (iii) From individual donor(s), below Rupees One lac:_ Total [(i)+(ii)+(iii)]: Declaration I hereby declare that the above particulars furnished by me are true and correct. I also affirm that the foreign contribution has been utilised for the purpose(s) for which the Association has been granted registration or prior permission by the Central Government, to the best of my....
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....e Foreign Contributi d sold on ment otherwise transferre (Currency ) Account d Balanc e in Stock 1 2 3 5 7 8 9 10 11 12 13 14 15 16 DECLARATION I hereby declare that the above particulars furnished by me are true and correct. Place: Date: Signature of the Chief Functionary (Name of the Chief Functionary in block letters) (Seal of the Association) 44 Certificate to be given by Chartered Accountant I/We have audited the account of (name of Association and its full address including State, District and Pin Code, if registered society, its registration number and State of registration) for the year ending the 31st March_ and examined all relevant books and vouchers and certify that according to the audited account: (i) the brought forward foreign contribution, in kind, at the beginning of the year was Rs (ii) foreign contribution, in kind worth Rs year was received by the Association during the (iii) (a) the balance of unutilised foreign contribution, in kind, with the Association at the end of the year was worth Rs (b) That the whole ....
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....lare that the above particulars furnished by me are true and correct. Place: Date: Signature of the Chief Functionary (Name of the Chief Functionary in block letters) (Seal of the Association) 46 46 Certificate to be given by Chartered Accountant I/We have audited the account of (name of Association and its full address including State, District and Pin Code, if registered society, its registration number and State of registration) for the year ending the 31st March books and vouchers and certify that according to the audited account: and examined all relevant (i) the brought forward investment(s) in securities at the beginning of the year was Rs (ii) that further investment(s) in securities worth Rs_ during the year was made by the Association (iii) the total value of investment in securities made by the Association at the end of the year was worth Rs (iv) Certified that the Association has maintained the accounts of foreign contribution and records relating thereto in the manner specified in Section 13 of the Foreign Contribution (Regulation) Act, 2010 (42 of 2010) read with sub-rule (1) of rule 8 of the Fore....
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....formation of significance which the applicant may like to furnish: Declaration I hereby declare that the above particulars furnished by me are true and correct. Place: Date: Signature of the Candidate (Name, in block letters) Certificate Certified that the above declaration was signed by Smt/Shri/Ku.. S/o..... (*)... .resident of a candidate for election to ..before me, on this date day of month & year. Signature (Name, in block letters) Designation (to be signed by a Group A Gazetted Officer** or 1st Class Magistrate). *Here specify Legislature' as defined in section 21 of the Act. **of the State/Central Government. 49 42 FORM FC-10 [See rule 23 (1)] The Secretary to the Government of India, Ministry of Home Affairs, FCRA Wing/Foreigners Division, "Jaisalmer House", 26, Mansingh Road, New Delhi - 110 011. Subject: Application for seeking permission for transfer of foreign contribution to other registered/un-registered persons: Sir, I on behalf of the Association named hereafter apply for seeking permission of the Central Government under section of Foreign Contribution (Regu....