Foreign Contribution Regulation Act (FCRA) Registration & Prior Permission for NGOs in Raipur

FCRA Registration (Form FC-3A) vs. Prior Permission (Form FC-3B)

The Ministry of Home Affairs provides two distinct regulatory pathways for NGOs seeking to receive foreign donations:

• FCRA Registration (Form FC-3A): Granted to established NGOs with a minimum operational track record of 3 financial years. The entity must have spent a minimum of ₹15.00 Lakhs on its core charitable objectives during the preceding 3 years (excluding administrative expenses). FCRA registration is valid for 5 years and permits ongoing receipt of foreign contributions from multiple international donors.
• Prior Permission (Form FC-3B): Designed for newly registered NGOs (less than 3 years old) or entities lacking the ₹15 Lakh expenditure history. Prior Permission authorizes the NGO to receive a specific foreign grant amount from a single, pre-identified foreign donor for a defined charitable project.
• Key Eligibility Conditions: The applicant trust/society/company must be registered under 12AB/80G (or Section 332/354), must possess audited financial statements for 3 years, and key functionaries (trustees/directors) must have clean criminal and regulatory track records.

MHA Statutory Compliance & Banking Mandates Matrix

Summary of core regulatory requirements under the FCRA 2010 Act and 2020 Amendment Rules:

The Mandatory SBI New Delhi Main Branch (NDMB) Account Framework

Under Section 17 of the amended FCRA Act, all foreign contributions must land exclusively in the NGO's Primary FCRA Account maintained at the State Bank of India, New Delhi Main Branch (NDMB), 11 Sansad Marg, New Delhi:

Annual Return Filing (Form FC-4) & CA Audit Certification

Every FCRA-registered NGO must submit an annual return in Form FC-4 electronically on the MHA portal (`fcraonline.nic.in`) within 9 months of the financial year end (by 31st December):

• Chartered Accountant Certificate: Form FC-4 must be accompanied by an official CA Audit Certificate verifying foreign contribution receipts, bank reconciliations, and itemized utilization accounts.
• Audited Financial Statements: Enclosing audited Balance Sheet, Income & Expenditure Statement, and Receipt & Payment Account specifically prepared for foreign contribution accounts.
• Quarterly Foreign Receipt Declarations: Mandatory quarterly online disclosure of foreign contributions received, specifying donor name, country, purpose, and receipt date within 15 days of quarter end.
• Consequences of Late Filing: Failure to file Form FC-4 by 31st December leads to immediate statutory penalty, suspension of the FCRA registration, and freezing of the SBI NDMB bank account under Section 14.

Scope of FCRA Advisory & Audit Services by CA Rabi Agrawal & Associates

We deliver comprehensive, end-to-end FCRA governance and compliance solutions for NGOs across Chhattisgarh and Odisha:

• FCRA Registration (Form FC-3A) Filing: Preparing documentation, verifying 3-year financial expenditure records, drafting activity reports, and filing applications on the MHA portal.
• Prior Permission (Form FC-3B) Execution: Assisting start-up NGOs in acquiring project-specific Prior Permission with donor commitment documentation.
• SBI NDMB Bank Account Facilitation: Guiding NGO trustees through SBI New Delhi Main Branch account setup, PFMS integration, and secondary bank mapping.
• Statutory FCRA Audit & Form FC-4 Filing: Conducting specialized foreign contribution audits, issuing CA certificates, and submitting Form FC-4 annual returns with MHA.
• 5-Year FCRA Renewal (Form FC-3C): Managing timely renewal applications 6 months prior to expiry date to prevent lapse of FCRA status.
• MHA Representation & Penalty Compounding: Representing NGOs before the FCRA Division of MHA, responding to departmental show-cause notices, and handling penalty compounding proceedings under Section 41.