Foreign donations play a crucial role in funding non-profit organizations (NGOs), trusts, societies, and Section 8 companies working for social welfare. However, to legally receive foreign contributions in India, organizations must obtain FCRA Registration under the Foreign Contribution Regulation Act (FCRA), 2010.
This article provides a step-by-step guide on how to apply for FCRA registration online, covering eligibility criteria, required documents, FCRA renewal status, and compliance requirements. Additionally, we will explore how Niti Aayog Registration, 12A and 80G Registration, CSR-1 Registration, and CSR funds impact FCRA-registered organizations.
What is FCRA? (FCRA Meaning & Full Form)
FCRA Full Form: Foreign Contribution Regulation Act
FCRA Definition: The Foreign Contribution Regulation Act (FCRA), 2010, regulates foreign donations to NGOs, charities, Section 8 companies, and other non-profits in India. It ensures that funds are used for legitimate purposes and prevents misuse of illegal activities.
Why is FCRA Registration Important?
•Legal permission to receive foreign funds
•Ensure transparency and accountability
•Enhances credibility for international donors
•Mandatory for NGOs applying for global grants
Types of FCRA Registration
There are two types of FCRA registration based on the nature of foreign contributions:
1. Prior Permission (PP) Registration
•Suitable for newly registered NGOs or Section 8 companies.
•The NGO must apply for approval before receiving foreign funds for a specific project.
•Requires details of foreign donors, contribution amount, and purpose.
2. Permanent FCRA Registration
•Suitable for NGOs that have been active for at least three years.
•The organization must have spent a minimum of ₹15 lakh on social welfare activities in the last three years.
•Allow NGOs to receive unrestricted foreign funds for general purposes.
Eligibility for FCRA Registration
To apply for FCRA registration, an NGO must:
•Be registered under one of the following laws:
-Indian Trusts Act, 1882 (For Trusts)
-Societies Registration Act, 1860 (For Societies)
-Section 8 of Companies Act, 2013 (For Section 8 Companies)
•Be operational for at least three years (For Permanent Registration)
•Have an active bank account for foreign transactions
•Ensure foreign funds are used for genuine charitable purposes
Documents Required for FCRA Registration
To complete the FCRA Registration process, the following documents are required:
•Certificate of Registration (Trust Deed/Society Registration Certificate/Section 8 Company Incorporation Certificate)
•PAN Card of the Organization
•Financial Statements for the last 3 years
•Activity Report for the last 3 years
•Details of Foreign Donors (for Prior Permission)
•Declaration Letter by the Chief Functionary
•Bank Account Details (For Receiving Foreign Contributions)
How to Apply for FCRA Registration Online: Step-by-Step Process
Step 1: Visit the FCRA Online Services Portal
Go to the FCRA Online on its portal at https://fcraonline.nic.in/.
Step 2: Create an Account
•Click on “New User Registration”
•Enter NGO details, email ID, and mobile number
•Verify the account using OTP
Step 3: Select the Type of Registration
•Choose "Prior Permission" if applying for specific funds
•Choose "Permanent FCRA Registration" for regular foreign donations
Step 4: Fill FCRA Registration Form (FC-3A or FC-3B)
•Enter organization details, activities, and objectives
•Provide bank details for foreign contributions
•Attach required documents in PDF format
Step 5: Pay the FCRA Registration Fees
•FCRA registration fees for Prior Permission: ₹5,000
•FCRA registration fees for Permanent Registration: ₹10,000
Step 6: Submit the Application
•Review the form and click on “Submit”
•Track application status on FCRA Online Services
FCRA Renewal Status & Compliance Requirements
How to Check FCRA Renewal Status?
•Log in to FCRA Online Services.
•Enter your registration number and check the renewal status.
•FCRA registration is valid for 5 years and must be renewed before expiry.
Compliance Requirements for FCRA Registered NGOs
•Maintain proper records of foreign funds received and utilized.
•Submit an Annual Return (FC-4 Form) before 31st December.
•Ensure that funds are used only for charitable purposes.
Impact of 12A and 80G Registration on FCRA Registered NGOs
What is 12A and 80G Registration?
•12A registration provides income tax exemption to NGOs.
•80G registration allows donors to claim tax deductions.
Why Should FCRA NGOs Have 12A and 80G Registration?
•Helps attract more donors by offering tax benefits
•Enhances financial transparency
•Increases eligibility for CSR funding
12A and 80G Registration Process Online
•Apply through the Income Tax e-filing Portal
•Submit Form 10A and attach necessary documents
•Await verification & approval
12A and 80G Registration Fees
•Government charges are minimal
•Consultancy fees depend on service providers
CSR-1 Registration & FCRA for Receiving CSR Funds
What is CSR? (CSR Meaning & Definition)
CSR (Corporate Social Responsibility) is a law that requires large companies to spend 2% of their net profits on CSR activities.
How Can FCRA NGOs Receive CSR Funds?
•Complete CSR-1 Registration on the MCA portal
•Get Niti Aayog Registration via the NGO DARPAN portal
•Ensure 12A and 80G registration is approved
CSR Applicability: Who Must Spend on CSR?
Companies with:
•Net worth ₹500 crore+
•Turnover ₹1000 crore+
•Net profit ₹5 crore+
CSR Fund Eligibility requires NGOs to follow legal compliance, including FCRA registration for foreign-funded CSR projects.
FCRA and CSR in the Corporate Sector
Even in industries like gaming and entertainment, companies engage in CSR. For example:
•CSR Racing & CSR Racing 2 – Popular racing games that participate in social causes.
•Tech Giants – Companies like Google and Microsoft donate millions through CSR funds.
FCRA-registered NGOs can collaborate with such corporate sponsors for international CSR funding.
Conclusion
FCRA registration is essential for NGOs, Section 8 companies, and non-profits seeking foreign donations. By following the FCRA registration process online, organizations can legally receive funds while ensuring compliance with FCRA Act 2010.
Additionally, 12A and 80G registration, CSR-1 registration, and Niti Aayog registration enhance an NGO’s eligibility for CSR funds and government grants.
By maintaining FCRA renewal status and proper financial records, NGOs can expand their impact and attract global donors.
FAQs
1. How long does it take to get FCRA registration?
Ans. 3-6 months, depending on verification.
2. Can a Section 8 company apply for FCRA registration?
Ans. Yes, if engaged in charitable activities.
3. How do I check my FCRA renewal status?
Ans. Log in to FCRA Online Services and track the renewal process.
4. Is FCRA registration mandatory for receiving foreign funds?
Ans. Yes, NGOs must have FCRA registration to legally receive foreign contributions.
5. Can FCRA-registered NGOs apply for CSR funding?
Ans. Yes, if they complete CSR-1 registration and comply with CSR guidelines.
