Pooja Jagdish & Associates provides professional assistance for FCRA registration, FCRA prior permission and FCRA compliance for NGOs, charitable trusts, societies and other eligible organisations in Delhi and across India.
The Foreign Contribution (Regulation) Act, 2010 (FCRA) regulates the acceptance and utilisation of foreign contribution and foreign hospitality by certain individuals, associations and organisations in India.
An organisation generally cannot accept foreign contribution unless it has obtained FCRA registration or prior permission from the Central Government, subject to the provisions and exemptions under the Act.
We assist organisations with FCRA registration, prior permission, renewal, annual compliance, FC-4 filing, FCRA bank account compliance and responses to queries from the Ministry of Home Affairs.
What is FCRA?
The Foreign Contribution (Regulation) Act, 2010 is the principal legislation governing the acceptance and utilisation of foreign contribution in India.
The Act regulates foreign contributions received by associations and organisations having cultural, economic, educational, religious or social programmes and seeks to ensure that foreign contributions are not utilised in a manner contrary to the public interest or national interest.
Foreign contribution broadly includes:
- Donation, delivery or transfer of any currency or article from a foreign source;
- Transfer of foreign securities;
- Certain contributions received from a foreign source through one or more persons; and
- Other amounts or transactions covered by the definition under the FCRA.
Whether a particular receipt constitutes foreign contribution depends upon the nature of the receipt, the source and the specific provisions of the FCRA.
Is FCRA Registration Mandatory for Receiving Foreign Donations?
An eligible organisation cannot ordinarily accept foreign contribution unless it has:
- A valid FCRA registration certificate, or
- Prior permission from the Central Government for receiving a specified foreign contribution.
The Ministry of Home Affairs specifically advises organisations not to accept foreign contribution without FCRA registration or prior permission.
Therefore, merely having:
- 12AB registration,
- 80G approval,
- Trust/Society registration,
- Section 8 company registration, or
- registration under any other Indian law
does not by itself authorise an organisation to receive foreign contribution.
FCRA compliance is a separate requirement.
FCRA Registration vs FCRA Prior Permission
An organisation generally has two routes for legally receiving foreign contribution:
| Particulars | FCRA Registration | Prior Permission |
|---|---|---|
| Purpose | Regular receipt of foreign contribution | Specific receipt for a specified purpose |
| Donor | Generally broader | Specific donor/source |
| Project | Organisation’s permitted activities | Specified project/activity |
| Amount | Subject to FCRA provisions and compliance | Specified amount |
| Applicability | Eligible organisations satisfying prescribed requirements | Organisations that do not have FCRA registration but qualify for prior permission |
| Application | Prescribed online FCRA application | Prescribed online prior-permission application |
The appropriate route depends upon the organisation’s circumstances, activities, donor and proposed foreign contribution.
Eligibility for FCRA Registration
An organisation seeking FCRA registration should satisfy the applicable requirements under the FCRA and Rules.
The organisation should generally:
- Be legally constituted as an eligible entity;
- Have clearly defined charitable, social, educational, religious, cultural or economic objectives, as applicable;
- Have undertaken genuine activities;
- Maintain proper books and records;
- Have appropriate financial and governance documentation;
- Comply with applicable Indian laws;
- Have appropriate office bearers and governing body details;
- Have an FCRA-designated bank account as required;
- Satisfy the conditions prescribed under the FCRA and Rules.
The Ministry of Home Affairs may examine the organisation’s activities, financial records, governing body and other relevant information while considering an application.
Application for FCRA Registration
Applications for FCRA registration are made through the online FCRA system of the Ministry of Home Affairs.
The current FCRA framework provides online services for registration, prior permission, renewal and other FCRA compliances.
The FCRA online system and forms have also undergone changes over time. Therefore, organisations should use the current forms and procedure available on the FCRA portal rather than relying on older physical-form procedures.
Important Update
The earlier procedure requiring the applicant to submit a physical copy of the online application to the Ministry of Home Affairs is outdated.
The FCRA FAQ currently states that applications and requisite documents are to be submitted online and that physical copies are not accepted by MHA.
Documents Required for FCRA Registration
The exact documents depend upon the organisation and the nature of the application. Commonly required information and documents include:
Constitutional Documents
- Trust Deed, in case of a trust
- Society Registration Certificate and Memorandum of Association
- Rules and Regulations / Bye-laws
- Certificate of incorporation, where applicable
- Section 8 company documents, where applicable
Organisation Details
- PAN of the organisation
- Registered office details
- Details of trustees/directors/governing body members
- Details of office bearers
- Identification and other prescribed information
- Details of related or associated organisations, wherever applicable
Activity and Financial Documents
- Activity reports
- Audited financial statements
- Income and expenditure statements
- Balance sheets
- Income-tax returns
- Details of charitable activities
- Details of grants and donations received
- Details of previous foreign contribution, if any
Existing Approvals
Where applicable:
- 12AB registration
- 80G approval
- DARPAN ID
- Previous FCRA registration
- Previous FCRA prior permission
- Other relevant registrations and approvals
The exact information required should be checked against the current FCRA application and portal requirements.
FCRA Bank Account
A registered organisation or an organisation receiving foreign contribution under prior permission must comply with the FCRA bank-account requirements.
Under Section 17 of the FCRA, foreign contribution is required to be received in the designated FCRA Account.
The FCRA framework requires the designated receipt account to be maintained with the specified branch of State Bank of India at New Delhi, as notified by the Central Government.
The organisation may maintain separate account(s) for utilisation of foreign contribution in accordance with the applicable provisions.
Important
The organisation should ensure that foreign contribution is received and utilised only through accounts maintained in accordance with the FCRA.
The FCRA framework specifically prohibits receipt of foreign contribution through undisclosed or unauthorised bank accounts.
FCRA Registration Process
Step 1 – Eligibility Review
We review:
- Constitution documents
- Objects of the organisation
- Activities
- Financial statements
- Income-tax compliance
- 12AB/80G status
- Governing body details
- Existing FCRA history
- Proposed source and purpose of foreign contribution
Step 2 – Documentation
We assist in compiling the required documents and information for the FCRA application.
Step 3 – Online Application
The application is prepared and submitted through the prescribed online FCRA system.
Step 4 – Government Verification
The Ministry of Home Affairs may examine the organisation’s activities, office bearers, financial information and other relevant particulars.
Step 5 – Clarification / Additional Information
If the Ministry seeks clarification or additional documents, we assist in preparing and submitting an appropriate response.
Step 6 – Registration
Upon approval, the organisation receives the FCRA registration certificate and can receive foreign contribution subject to the applicable conditions and compliance requirements.
FCRA Annual Compliance
Obtaining FCRA registration is not the end of the compliance process.
An FCRA-registered organisation must comply with the ongoing requirements under the FCRA and Rules.
These may include:
- Maintenance of proper books of account;
- Maintenance of separate records for foreign contribution;
- Utilisation of foreign contribution only for permissible purposes;
- Filing of annual FCRA return;
- Disclosure of foreign contribution received and utilised;
- Compliance with bank-account requirements;
- Timely reporting of prescribed changes;
- Compliance with restrictions on transfer and utilisation;
- Compliance with administrative-expense restrictions;
- Renewal/continuation of FCRA registration;
- Responding to notices and communications from MHA.
FCRA Annual Return – Form FC-4
FCRA-registered organisations are required to furnish the prescribed annual return in Form FC-4 in accordance with the applicable provisions.
The annual return contains information relating to:
- Foreign contribution received;
- Source of foreign contribution;
- Purpose for which contribution was received;
- Utilisation of foreign contribution;
- Donor details;
- Bank details;
- Assets created or acquired from foreign contribution;
- Administrative expenditure; and
- Other prescribed information.
Filing of the annual return should be treated as an important recurring FCRA compliance requirement.
FCRA Administrative Expenses
The FCRA places restrictions on the use of foreign contribution towards administrative expenses.
As a general rule, administrative expenses out of foreign contribution are subject to the statutory limit under Section 8 of the FCRA, subject to the applicable provisions and permissible exceptions.
The MHA’s FCRA guidance currently states that administrative expenditure should generally not exceed 20% of the foreign contribution received in a financial year, with the Act providing for the prescribed mechanism where the limit is exceeded.
Organisations should therefore separately monitor:
- Programme expenditure
- Administrative expenditure
- Salaries and staff costs
- Office expenses
- Professional charges
- Travel expenses
- Other expenditure from foreign contribution
Important FCRA Restrictions
An FCRA-registered organisation must carefully comply with restrictions relating to foreign contribution.
For example:
Foreign contribution should not be transferred contrary to Section 7
The MHA’s FCRA guidance specifically states that foreign contribution should not be transferred to another association or person in violation of the Act.
Foreign contribution should be used only for permissible purposes
The organisation must utilise foreign contribution consistently with the applicable FCRA provisions and its approved objectives.
Political and other prohibited activities
Certain persons and organisations are prohibited from accepting foreign contribution under the FCRA.
Therefore, an organisation should verify its eligibility before accepting foreign funds.
FCRA Registration Validity and Renewal
FCRA registration is not a perpetual approval.
FCRA registration is subject to the validity and renewal requirements prescribed under the Act and Rules.
Registered organisations should monitor the expiry of their registration and make the prescribed application for renewal within the applicable timeline.
Failure to comply with renewal requirements can result in cessation of the registration and consequent restrictions on receiving foreign contribution.
Cancellation or Suspension of FCRA Registration
The Central Government has powers under the FCRA to suspend or cancel registration in specified circumstances.
Non-compliance may therefore have serious consequences, including:
- Suspension of FCRA registration;
- Restrictions on receiving foreign contribution;
- Restrictions on utilisation of foreign contribution;
- Cancellation of registration;
- Requirement to manage remaining foreign contribution in the manner prescribed;
- Penalties or other action under the FCRA.
The MHA’s official guidance specifically cautions organisations against receiving or utilising foreign contribution when registration has ceased, is suspended or has been cancelled.
FCRA and 12AB / 80G – What is the Difference?
FCRA registration should not be confused with income-tax registration.
| Registration / Approval | Main Purpose | Governing Law |
|---|---|---|
| Trust/Society/Section 8 registration | Legal constitution of organisation | Applicable registration law |
| 12AB / corresponding registration | Income-tax exemption | Income-tax law |
| 80G / corresponding approval | Donor deduction | Income-tax law |
| FCRA registration | Acceptance and utilisation of foreign contribution | FCRA, 2010 |
| FCRA Prior Permission | Specific foreign contribution | FCRA, 2010 |
An organisation may therefore need both income-tax registrations and FCRA registration, depending upon its activities and sources of funding.
Important for NGOs
12AB or 80G registration does not permit an organisation to receive foreign contribution.
FCRA registration or prior permission is a separate requirement.
FCRA and Income-tax Act, 2025
The Income-tax Act, 2025 reorganises India’s income-tax legislation and introduces a new framework for charitable and non-profit organisations.
However, FCRA is not a provision of the Income-tax Act.
Therefore:
Income-tax Act, 1961 / Income-tax Act, 2025
→ Governs income-tax exemption, 12AB/related registration and 80G/donation-related provisions.
Foreign Contribution (Regulation) Act, 2010
→ Governs acceptance and utilisation of foreign contribution.
Accordingly, the introduction of the Income-tax Act, 2025 does not replace FCRA registration.
An NGO receiving foreign contribution must continue to comply with the FCRA framework administered by the Ministry of Home Affairs.
FCRA 2.0 – Important 2026 Update
The Ministry of Home Affairs announced the launch of the FCRA 2.0 Portal on 30 June 2026.
This represents an important development in the administration and delivery of FCRA online services.
Because FCRA services and online forms may be updated through the portal, applicants should use the current MHA/FCRA portal requirements when making an application rather than relying on older website articles or legacy procedures.
Why Choose Pooja Jagdish & Associates for FCRA Registration?
Pooja Jagdish & Associates assists NGOs, trusts and societies with:
- FCRA Registration
- FCRA Prior Permission
- FCRA Renewal
- FCRA Annual Return / FC-4
- FCRA compliance
- FCRA bank-account compliance
- Foreign contribution accounting
- Foreign contribution utilisation review
- 12AB and 80G registration
- NGO income-tax compliance
- Audit and financial statements
- FCRA notice and clarification responses
- NGO regulatory compliance
We assist organisations in Delhi, Dwarka and across India.
Frequently Asked Questions
Is FCRA registration mandatory for receiving foreign donations?
An organisation generally cannot accept foreign contribution unless it has obtained FCRA registration or prior permission, subject to the applicable provisions and exemptions under the FCRA.
Is 12AB registration enough to receive foreign donations?
No. 12AB registration and FCRA registration serve different purposes. An organisation may require FCRA registration or prior permission to receive foreign contribution.
Is 80G registration the same as FCRA registration?
No. 80G relates to tax deductions available to eligible donors, whereas FCRA regulates the acceptance and utilisation of foreign contribution.
Can a new NGO apply for FCRA registration?
Eligibility depends upon the organisation’s legal status, activities, history and fulfilment of the requirements under the FCRA and Rules. Where an organisation does not qualify for regular registration, it may need to examine whether the prior-permission route is applicable.
Can an organisation receive foreign contribution without FCRA registration?
Generally, no. An organisation should not accept foreign contribution unless it is legally permitted to do so under the FCRA, including through valid registration or prior permission where applicable.
Is FCRA registration permanent?
No. FCRA registration is subject to the applicable validity and renewal requirements.
Does FCRA require a separate bank account?
Yes. Foreign contribution must be received through the designated FCRA account and dealt with in accordance with the bank-account requirements under the FCRA.
Is physical submission of the FCRA application required?
The old requirement for submission of physical copies is no longer the current online procedure. The FCRA FAQ states that applications and required documents are submitted online and that physical copies are not accepted by MHA.
What is FCRA Form FC-4?
Form FC-4 is the prescribed annual return for FCRA-registered organisations, containing information regarding foreign contribution received and its utilisation.
Can FCRA registration be cancelled?
Yes. The Central Government has statutory powers to suspend or cancel FCRA registration in circumstances prescribed under the Act.
Need Assistance With FCRA Registration?
If your NGO, trust or society is planning to receive foreign donations, grants or other foreign contributions, it is important to obtain the appropriate FCRA approval before accepting the funds.
Pooja Jagdish & Associates provides professional assistance with FCRA Registration, FCRA Prior Permission, FCRA Renewal and FCRA Annual Compliance in Delhi and across India.