Validity period for receiving & utilising foreign contribution by prior permission

Validity period for receiving and utilising the foreign contribution through an application of prior permission

Under the FCRA, 2010, every person having a definite cultural, economic, educational, religious or social programme may, if it is not registered with the Central Government under section 1 1(1), accept any foreign contribution only after obtaining the prior permission of the Ministry of Home affairs by making an application in the prescribed format and such prior permission shall be valid for the specific activities or projects for which it is obtained and from the specific source

The Central Government has directed that validity period for receiving and utilising the foreign contribution through an application of prior permission shall be as follows:

(a) The Validity period for receiving foreign contribution shall be 3 years from the date of approval of the application for prior permission.

(b) The validity period for utilising the said foreign contribution shall be 4 years from the date of approval of the application for prior permission.

Further, it has been directed in respect of prior permission applications which have already been approved and where the remaining period of the approved project/ activity in the prior permission is more than 3 years, the above time limit shall be reckoned from the date of issue of this order instead of the date of approval of the application for prior permission.

Notwithstanding the above provisions , the competent authority in the Ministry of Home Affairs may allow for extension in the above mentioned validity period for an association/organisation on case to case basis, based on the merits of the case.

Any receipt or utilisation of the foreign contribution beyond the above said time limits shall be a violation of FCRA, 2010 and in case of any violation, necessary punitive action shall be taken.

Download FCRA Public Notice Click Here >>

• Object of assessment proceedings is not to find empirically correct solution on every fact issue – HC
• Penalty u/s 270A deleted as assessee filed revised computation during scrutiny
• Penalty u/s 271B for unfilled column 40 in Tax Audit Report Form 3CD deleted by ITAT
• Merely ex-parte rectifying computation without amending assessment order not make it nullity- ITAT
• Once assessee discharges primary onus, it shifts to AO to bring evidence to contrary – ITAT