FCRA Non-Filers get a three month window to rectify their registration status

by news
August 2, 2019

New Delhi: As a one-time measure, the Union Government has allowed associations whose certificates have been canceled for non-filing of returns under the provisions of the Foreign Contribution (Regulation) Act a fresh chance to file their returns without levy of any penalty.

This move will benefit hundreds of organizations affected by the non-filing of returns. Over 4800 NGOs now barred from receiving foreign funds for the past three years now stand to gain access to these funds once they file their returns. Filing of returns is mandatory under the act and non-compliance debarred the non-filers from registration and grant of permissions for a period of three years. The Home Ministry has yielded to repeated representations received from several such bodies and the once time exemption will enable them to apply for registration within 3 months from the date of the issue of the notice released on Thursday 31 July 2019.

The notice clarifies that in case of bodies in violation of other provisions of the act, in addition to non-filing of returns, such violations would have to be compounded before such an association or organization can apply for fresh registration.