Can Indian NGO receive foreign funds?

NEW DELHI: The Supreme Court on Tuesday said NGOs should not be allowed to receive foreign funds if the donor did not declare the purpose for which the money is to be spent and said the Centre has diluted the intent of Foreign Contribution Regulation Act (FCRA) by not insisting on such a provision.

How can I get foreign money for NGO in India?

In a notification, home ministry also said office bearers of NGOs seeking registration under Foreign Contribution (Regulation) Act must submit a specific commitment letter from the donor indicating amount of foreign contribution.

Can Indian trust accept foreign donations?

NO. Any money received from a citizen of India living in another country, from his savings, through bank transfer, is not treated as a foreign contribution. … The Trusts who intend to get money from abroad have to get approval from the Ministry of Home Affairs (MHA).

Who can receive foreign contribution in India?

(1) Every person who has been granted a certificate or given prior permission under section 12 shall receive foreign contribution in a single account only through such one of the branches of a bank as he may specify in his application for grant of certificate: Provided that such person may open one or more accounts in …

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How do I receive international donations from India?

For this purpose, the association should: (i) be registered under the Societies Registration Act, 1860 or the Indian Trusts Act, 1882 or section 25 of the Companies Act, 1956 etc; (ii) submit a specific commitment letter from the donor indicating the amount of foreign contribution and the purpose for which it is …

Can NGO receive foreign funds?

Last September, the Foreign Contribution (Regulation) Act, 2010, was amended by Parliament and a new provision that makes it mandatory for all NGOs to receive foreign funds in a designated bank account at the State Bank of India’s New Delhi branch was inserted.

Can NGO receive foreign money?

NEW DELHI: The Supreme Court on Tuesday said NGOs should not be allowed to receive foreign funds if the donor did not declare the purpose for which the money is to be spent and said the Centre has diluted the intent of Foreign Contribution Regulation Act (FCRA) by not insisting on such a provision.

Can a foreign trust invest in India?

Under the FDI policy, non-residents investing in India can invest only in companies, LLPs (with prior approval from FIPB), and Venture Capital Fund (which is a trust) (with prior approval from FIPB). Investment in trust is not permitted.

Can political parties receive foreign funding Upsc?

As per the FCRA, members of legislatures, political parties, government officials, judges and media persons are prohibited from receiving any foreign contribution.

Can an individual accept foreign donation?

Ans. Section 11 of the FCRA, 2010 prescribes that no person, save as otherwise provided in the Act, shall accept foreign contribution unless such person obtains a certificate of registration or prior permission of the Central Government.

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Who can receive foreign contribution as per FCRA?

A ‘person’, as defined in Section 2(1)(m) with the exclusion of those mentioned in Section 3 of FCRA, 2010, having a definite cultural, economic, educational, religious or social programme can receive foreign contribution after it obtains the prior permission of the Central Government, or gets itself registered with …

How do I get foreign funding?

There are three types of investors of foreign funding for businesses in India:

  1. Individual. Financial institutions. Pension and Provident Fund. Foreign Venture Capital Investors.
  2. Company. Sovereign Wealth Funds. Foreign Trust. …
  3. Foreign Institutional Investors. Partnership and Proprietorship Firm. Private Equity Funds.

Can Section 8 companies receive contributions from overseas or non residents?

There are special requirements to be complied with under the Foreign Contribution and Regulation Act, 2010 before a Section 8 Company can receive any contributions or donations from overseas/outside India from non-residents. The provisions of the said Act are in addition to the provisions under the Companies Act.

Can a trust accept foreign donation?

Any donation from a Non-resident Indian who is a foreign national can be received only if the recipient charitable trust or institution is registered under FCRA (Foreign Contribution Regulation Act, 2010).

What is FCRA certificate?

Charitable Trusts, Societies, Section 8 Company that receive foreign contribution or donation from foreign sources are required to obtain registration under Section 6(1) of Foreign Contribution Regulation Act, 2010. Such a registration under the Foreign Contribution Regulation Act, 2010 is called a FCRA registration.

Can NGO invest in mutual funds?

2. Speaker: This means that NGOs can invest in certain specified securities which are specified in the Income Tax Act. … Even though the Income Tax allows it, FCRA law does not permit investment of foreign funds in mutual funds or speculative investments.

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