About

·       Enacted in 1976 during the Emergency period.

·       Aims to regulate foreign donations to individuals and associations to ensure they align with India’s democratic values.

·       Subject to amendments in 2010 and 2020, tightening government control over foreign fund receipt and utilization by NGOs.

Criteria for FCRA Registration

·       NGOs and individuals receiving foreign donations must be registered under the Act.

·       Must have a dedicated bank account with State Bank of India, Delhi for foreign fund receipt.

·       Funds must be used only for the specified purpose and in accordance with the Act.

·       Eligible organizations must have cultural, economic, educational, religious, or social programs.

·       Applicants must not be fictitious or involved in activities promoting religious conversion, communal tension, sedition, or disharmony.

Exceptions: FCRA prohibits foreign funding for election candidates, journalists, media companies, judges, government officials, political parties, and political organizations.

Validity and Cancellation

·       FCRA registration is valid for 5 years, renewable within six months of expiry.

·       Registration can be cancelled if an NGO violates the Act, remains inactive for two consecutive years, or becomes defunct.

·       A cancelled NGO can reapply for registration after a three-year waiting period.

FCRA 2022 Rules

·       In July 2022, changes to FCRA rules included increasing compoundable offenses from 7 to 12.

·       Exemption from government intimation for foreign contributions under Rs 10 lakh (previously Rs 1 lakh) received from relatives abroad.

·       Extension of the time limit for intimation of opening bank accounts.