In order
to control the acceptance and use of foreign donations by people, organisations,
and businesses in India, the Foreign Contribution (Regulation) Act (FCRA) was
passed in 2010. Its goal is to stop the use of foreign monies that can
jeopardise internal security in the nation. The Act forbids accepting and using
foreign hospitality or contributions for any endeavours that are harmful to the
interests of the country.
Every five
years, the FCRA registration and prior authorization must be renewed. The
online application for renewal, along with the necessary papers (annual FC
returns, income expenditure statements, and activity reports), must be filed no
later than six months prior to the date of expiration. The application is
reviewed to see whether accepting foreign funds complies with Act rules and
whether using such funds for activities doesn't conflict with the public
interest. After that, the renewal is approved for an additional five years,
subject to any restrictions on the quantity, origin, or use of money. Any
infraction may lead to a penalty, cancellation, or suspension. Therefore, in
order to ensure a smooth licence renewal process, associations must adhere to
all FCRA requirements.
