Overview of FCRA Registration Renewal
In order to maintain the proper foreign donation records of the NGOs, this FCRA registration has been done under the Foreign Contribution Regulation Act. As per this law FCRA registration is mandatory for all the NGOs who are getting donations from foreign. Also this registration needs to be renewed from time to time as it is not a one time certification. The renewal application should be made before the Central Government. This application can be made online with the help of the FCRA official website through Form FC-3C.
Always keep in mind that the application for the renewal must be filed before six months of the expiry date. The validity period of this registration under the new Foreign Contribution Regulation Act of 2010 is 5 years. Hence the application for the renewal has to be submitted prior six months to the actual date of expiry. The current FCRA portal allows us to further file an application for the said renewal through Form FC-3C even a year before the expiry as well.
Key Consequences of FCRA Registration Ceases to Exist
FCRA registration ceases to exist if such registration is not renewed within the prescribed time limit. Once the registration ceases then the NGO neither can get further donations from the foreign nation nor can they use the already existing donation amount which came from the foreign nations. This is the situation where you are stuck as an organization if your contribution mostly comes from foreign. Hence in order to protect your organization against any such situation make sure to get this renewal done within the prescribed time limit. In the following Situation it will be considered that your registration is not renewed:
- The application for the registration is not filed within the prescribed time limit or
- The application for the said renewal is not accompanied by the requisite fee or
- The application for renewal is under process.
With reference to Rule 6A, the amount for the foreign contribution that remains unutilised in the particular FCRA accounts of a person whose registration certificate will be deemed to have ceased under sub-rule (6), as well as any assets formed from the foreign contribution, must vest with the specified authority under the Act until the certificate is renewed or a new registration is issued by the Central Government. Rule 6 handles the circumstance in which an application for renewal is not submitted before the certificate expires, or when an application is submitted but not accompanied by the requisite fees.
Inquiry By Central Government During the Renewal of FCRA
The recent amendment which was made on 29th September 2020 with respect ot the FCRA Act, the procedure for inquiry can be made by the central government for the compliance of Section 12 (4) before the FCRA renewal and also Section 12(4) stands to provide the verification that is to be made at the time of granting of registration. A similar inquiry can also be made by the government. Thus this amendment has become similar to the process of registration.
Documents required for the FCRA renewal
The documents required are as follows:
- FC-3 Form: Completed and signed renewal application form.
- Copy of Registration Certificate: Existing FCRA registration certificate copy.
- Annual Returns (FC-4): Copies for the last five consecutive financial years.
- Foreign Contribution Summary: Statement of contributions received and utilized.
- Audited Accounts: Financial statements for the last five years.
- Utilization Certificate: For funds received under FCRA.
- Activity Report: Narrative and financial report of activities.
- FCRA Bank Account Details: Information on the designated bank account.
- Board Resolution: Resolution for FCRA registration renewal.
- Income Tax Returns: Copies for the last five years.
- Foreign Contribution Details: Record of contributions received.
- Compliance Certificate: If applicable, certifying compliance with FCRA provisions.
Procedure for the renewal of FCRA registration
The procedure to be followed for FCRA renewal is mentioned below:
- Go tohttp://fcraonline.nic.in.
- Click on "FCRA online forms."
- Select "FC-3 Application for Renewal of FCRA Registration."
- Click on "Click to apply online."
- Review the instructions by clicking on the "Instruction" button.
- Follow the step-by-step menu for proceeding.
- Enter Association Details and save them.
- Navigate to the "Executive Committee" tab and click on "Add."
- Add, edit, or delete details of Executive Committee members as required.
- Proceed to the "EC Details & Other" tab to enter relevant information.
- Enter Bank details under the respective menu tab.
- Upload necessary documents as per the guidelines.
- Review and finalize the submission under "Final Submit."
- Proceed to payment by selecting the "Payment" tab.
- Click on "Continue for Payment" to complete the transaction.
- Logout by clicking on the logout button when finished.
Delayed Application or Fees for FCRA Registration Renewal
There is a possibility that NGOs might sometimes forget the expiry date or might be possible that they didn’t file the application due to some reason within the stipulated time duration for the renewal of the FCRA registration. Government came up with a solution for such scenarios which is discussed below.
If an organization fails to apply for the said renewal of the application, then it shall become invalid and the department shall provide proper reasoning for the failure to file for renewal of application. If the department is satisfied with your reason for delay it may allow you to file the application for renewal within 1 year from the date of the expiry date of FCRA registration.
In the event that no application for renewal of registration is submitted, or if such an application lacks the necessary fee, the certificate of registration for that individual shall be considered expired as of five (5) years from the initial registration grant date. A renewal application submitted after the expiration date must be accompanied by a fee of Rs. 10,000 (Ten thousand rupees).
Why to Choose Whizseed for FCRA Registration Renewal?
The FCRA registration plays a major role in determining the alliance of business and the smooth running of business. Hence its timely renewal is necessary which can be done easily with the help of the Whizseed. It has to be renewed according to the process that is prescribed. under the law in order to neglect any penalty. Renewal plays a crucial role in the functioning of business and thus it is necessary to be kept updated for the ease of business operations. Some of the reasons which you should choose Whizseed are:
- Expertise: Specialized in FCRA compliance and renewal processes.
- Efficiency: Easy and efficient way for quick renewal.
- Support: A dedicated staff for advice and support.
- Experience: Proven track record with successful renewals.
- Compliance: Ensures adherence to FCRA regulations.