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Pankaj Tyagi
| Updated: 19 May, 2021 | Category: FCRA

FCRA Registration for NGO– A Detailed Online Procedure

FCRA Registration for NGO

Funding noble causes is what NGOs does in general. Their contribution is matchless because they work for the betterment of society.  Apparently, just like other entities, they need funds from viable sources to carry out their operations. Some NGOs procure capital from an overseas location to fuel their operation and serve their purpose. However, the government authorities can trace this cross-border funding activity to keep illegality out of the equation. At present, the organization that seeks to procure foreign funds for their operation needs to work under the ambit of the Foreign Contribution Regulation Act, 2010. The FCRA registration for NGOs has now become an absolute mandate. The following section in the article will brief an online process regarding FCRA registration for NGO.

What Objective does FCRA 2010 Serves?

The Foreign Contribution Regulation Act, 2010 was bought to life to

  • Regulate the acceptance as well as utilization of abroad contribution or hospitality by specific associations or companies.
  • Prohibit the acceptance as well as utilization of abroad contribution serving fraudulent intention or hampering the nation’s interest in any way.

Types of Registration under FCRA 2010

Basically, there are two ways in which a firm can avail registration as per Foreign Contribution Regulation Act, 2010. These are as follow:

  • Normal Registration
  • Prior Permission.

Read our article:What is the process to get FCRA registration?

Eligibility Criteria Related to FCRA Registration

  • Normal Registration: this registration is only accessible to applicants if:-
    • They possess registration under Societies Registration Act, 1860[1] or the Indian Trusts Act, 1882, or Section 8 Company as per the Companies Act, 2013
    • They have made proven contributions in the fields mentioned under the Act for the betterment of society.
    • They have spent a minimum sum of Rs. 10 00,000 in the last three years towards the social cause.
    • They have furnished a copy of the financial statements of the last three years certified by the qualified Chartered Accountants.
  • Prior Permission Registration

The Prior Permission is the best route for those firms which are newly established and would like to procure overseas funding. Such permission legalize the process of capital procurement/contribution from the aboard location. To avail prior permission, the Association must:-

Be registered under the Indian Trusts Act, 1882 or Societies Registration Act, 1860 or registered as Section 8 Company.

Furnish a specific declaration from the donor to the MHA, i.e. Ministry of Home Affairs, which reflects:-

  • The purpose for which it is proposed to be given
  • Amount of contribution given

Where the foreign donor firm & Indian recipient organization have common members, the given requisites should be met.

  • The Indian firm’s Chief Functionary cannot be part of the donor firm,
  • A minimum of 51% of the office-bearers of the India recipient firm should not have a past record of employment with the overseas donor firm.

A Step by Step Online Process of FCRA Registration for NGO

The online process of FCRA registration for NGO is as follows:-

What Objective does FCRA 2010 Serves
  • Visit the official website of the Ministry of Human Affairs
  • Tap on the FCRA registration forms option. This will open the list of forms available with the ministry.
  • Locate and click on the Form FC – 3A. It is a web-based form for new FCRA registration.
  • On the next page, click on the tab- Apply Online.
  • The following page will ask you to enter the log in detail in the given field.
  • The webpage will next present the user with an option to apply online. If you do not possess the account, click on the Sign-Up tab to create the new one.
  • After successful login, tap on the “I am applying for” option and opt for the relevant form to apply online.
  • After that, select Apply online>Proceed registration.
  • Next, head to the top menu and select the new registration procedure under the FC-3 menu.
  • Next, start filling the application form by entering relevant detail along with attachments containing the given detail:-
    • Darpan ID (not mandatory)
    • Registration Date
    • Registration Number
    • Association Address
    • Nature of the Association
    • The main object of the Association
  • After filing these detail, tap on the “Submit” tab.
  • Next, open the Executive Committee option from the top menu and fill it with apt details.
  • If necessary, head to the “Add details of Key Functionary” option to add/delete/edit the information provided in the Executive Committee.
  • Once done, click on the Save button.
  • Next, get back to the top menu and select the option- Bank Details. Here you need to provide details such as the IFSC code, account number and address of the bank.
  • Once done, tap on “Upload Data” on the same page.
  • Next, open the “Utilization Account” from the top menu and add information about the account that proposed to be used for the transaction. Once done, click on the “Save Data”.
  • Next, opt for the “Upload Doc” from the top menu and upload the soft copy of the documents mentioned below:
    • Signature of Chief Functionary.
    • Seal of the Association
    • Trust Deed/ MOA
    • Copy of FCRA registration certification.
  • After successful uploading, go to the top menu and click on the “Final Submit” to provide your consent to the declaration. Apart from agreeing to the declaration, here you need to provide a place and date as well. Once done, click on the “Final Submit” tab.
  • Lastly, hit the Payment tab located on the top menu to submit the fees regarding the renewal.

Conclusion

FCRA Registration for NGOs remains valid for a period of five years. As per MHA’s portal, the applicant must renew FCRA registration six months before the expiration date. Connect CorpBiz’s professional for more detail on FCRA registration for NGO.

Read our article:Online Renewal of FCRA Registration: A Step by Step Process

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Pankaj Tyagi

Pankaj has a diverse experience of writing research papers, blog, and articles during his college time. Earlier, he was working as a tax consultant in a financial firm, but his interest in writing drives him to pursue a career in the writing field.

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