7 innovative ways to raise funds for your NGO according to Impact Guru

Although the large majority of funding for NGOs is still done offline, online platforms offering this crowdfunding service are playing an important part in the increasing role of technology within the nonprofit sector

NGOs need funds. It's as simple as that. Raising them is a different story. With the rise in non-profit competition, gaining funds is becoming a denser marketplace to crack. Amongst the clamour and competition, the smarter NGOs are having to come up with new and increasingly more innovative ways to compete with each other for that ever-important cash.  Let's see what these innovative ideas really mean when we're standing head on in the fierce fundraising race.

1. Crowdfunding

Although the large majority of funding for NGOs is still done offline, online platforms offering this crowdfunding service are playing an important part in the increasing role of technology within the nonprofit sector. A trend that has taken off globally over the last decade, online crowdfunding is fast becoming one of the most viable sources of funding for social good.

2. Competitions

Smart NGOs are leveraging initiatives and competitions that are being run through various online platforms, fundraising portals or associated bodies. Such initiatives may offer some form of financial benefit for competing in a fundraising challenge,  or boast various tax benefits for the participants.

3. Go mobile

It's no secret that mobile usage is fast outgrowing desktop, the majority of web traffic is accessed through mobile already. Its vital then to maximise the platforms hat not only you're ready to take donations online, but also that your page is mobile compatible.

4. Tax Saving

To encourage people to donate to good causes, the Indian Income Tax Department allows donors to claim tax exemption under Section 80G on the amount donated to charities and NGOs. This offers a great opportunity for savvy NGOs to capitalise on this and provides a USP to gain donors and draw in funds, particularly around the tax saving season.

5. Jump on the bandwagon

Popular trends and hot topics create a great opportunity for you to capitalise on the talking point and direct the audience towards your cause. Keep a lookout on social media platforms such as Twitter and Facebook for trending topics that you could utilise to point towards your cause.

6. Reward your donors

Give something back to your donors. Not necessarily a free gift, although if you can afford it then giving the option for a small branded item acts as a consistent reminder of your brand to the donor and will work towards building a brand presence. Try partnering with larger consumer brands to finance this.

7. Love loyalty

Don't forget to nurture the loyalty of repeat donors. Create a reason for them to keep coming back to donate. This might be through loyalty schemes, or encouraging them to donate again by gifting vouchers or coupons. Similarly to above, contact corporates to partner with for this.

Disclaimer: The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of the publication

Source: https://mybigplunge.com/opinion/innovative-ways-to-raise-funds-according-to-impact-guru/

NGOs, clubs will face higher taxes on fundraisers, charity events under GST

Mumbai: Beginning July 1, the Goods and Services Tax will play spoilsport to fundraisers or charity events organised by non-government organisations (NGOs).

As total landed cost of holding such events would increase by at least 20 per cent, there will likely be a decline in hosting them, an Economic Times report said.

Clubs and NGOs that hold fundraisers or meetings will not be able to get an input credit on the food expenses under GST, unlike the current tax regime where they receive sales tax credit.

Apart from that, NGOs are complaining that they won't get any input credit on GST paid on subscription fees paid by their members.

Clubs such as Rotary Club and Lions Club fear that under GST there could be double taxation for them.

Read: What is GST and how will you benefit from it?

The idea behind double taxation implies that clubs, NGO's will have to pay 18 per cent GST on subscription fees of their members. While under the current tax regime, they receive an input credit of around 10.15 - 14.5 per cent on food and beverages costs at a fundraising event, the same will not hold once the indirect tax regime takes effect.

The GST framework does not allow credit for expenses incurred for activities that may not be directly construed as related to business. This includes expenses incurred for food and beverages.

Sources stated that many clubs would try to create structures that can bypass the GST regulations.

Source: http://www.timesnow.tv/business-economy/article/club-ngo-holding-fundraiser-charity-higher-tax-gst-double-taxation/63861

Future of 10,000 NGOs uncertain over issue of filing I-T returns

All NGOs need to register themselves with the ministry of home affairs under the Foreign Contribution Regulation Act (FCRA) in order to receive foreign funding.

Fate of around 10,000 NGOs registered with the Union home ministry to receive foreign funding is hanging in the balance as they have yet not been able to comply with the condition of submitting their annual returns for the last five years.

All NGOs need to register themselves with the ministry of home affairs under the Foreign Contribution Regulation Act (FCRA) in order to receive foreign funding. All these NGOs are required to file annual details of their income and expenses.

About four years ago, there were around 42,500 NGOs registered under the FCRA. But according to the government, there were only 33,300 NGOs registered under the forex act as on December 31 last year. Their number may come down further.

Last month, the ministry had given as many as 18,523 NGOs one-time opportunity to file their missing annual returns. "But till June 15, only 8267 NGOs managed to submit their returns for the period between 2010 and 2015. For the rest of 10526 NGOs, the ministry is yet to take a final call," said a home ministry spokesperson.

The official clarified there are 1,549 NGOs, which have not submitted return for even one year, while 2,339, 2,057, 2,079 and 2,239 NGOs have submitted their returns for one, two, three and four years, respectively. "The home ministry will not take a lenient view in this regard," said the spokesperson. The ministry had given time to the NGOs to submit their returns till June 14.

Source: http://www.hindustantimes.com/india-news/future-of-10-000-ngos-uncertain-over-issue-of-filing-i-t-returns/story-tbYE3V7A158EovQw55LbjI.html

Over 10,000 NGOs set to face Home Ministry crackdown over foreign funding

The MHA in May had given 18,523 NGOs a one-time opportunity to furnish details of their income sourced from abroad. MHA had asked these agencies to declare income and its source from abroad by June 14.

Over 10,000 Non-Government Organisations (NGOs) have come under the scanner of the Ministry of Home Affairs (MHA) for not declaring their source of funding from foreign countries and they may even lose their license required to get grants from other nations. The MHA in May had given 18,523 NGOs a one-time opportunity to furnish details of their income sourced from abroad. MHA had asked these agencies to declare income and its source from abroad by June 14.

The MHA had asked these NGOs to declare income received from abroad from the 2010-11 financial year to 2014-15 financial year – a time frame of five years. Out of the 18,523 NGOs who were asked to furnish details only 8,267 NGOs filed details with the Ministry of Home Affairs an official told the Indian Express. The 10,256 NGOs which have failed to file the details are under examination. According to the official, the ministry will decide whether to give these NGOs an extension to furnish details or to revoke the license of these NGOs.

Out of the aforementioned 10,256 NGOs, 2,239 have filed details for four years, 2,071 have filed details for three years, 2,057 have filed details for two years and 2,339 NGOs have only filed details for a single year, according to the report.

The Home Ministry had told these NGOs that they may lose their license if they do not divulge details of the funds they have received from other countries. Mukesh Mittal, Joint Secretary (Foreigners), had in an order stated "Failure to upload returns for these five years will lead to cancellation of licenses which are issued or renewed".

According to the Indian Express report, the NGOs could upload their missing returns between May 15 and June 14. There are 20,000 NGOs registered under the FCRA.

Source: http://www.financialexpress.com/india-news/over-10000-ngos-set-to-face-home-ministry-crackdown-over-foreign-funding/729225/

10,000 NGOs may face action for not filing FCRA returns

NEW DELHI: The home ministry is contemplating penal action against around 10,000 NGOs that have not filed their missing annual returns under the Foreign Contribution Regulation Rules, 2011, for all for some years between 2010-11 to 2014-15, despite the one-month grace window offered by the home ministry to do the same. Ministry sources said as many as 286 NGOs that were yet to file the returns for a single year upon expiry of grace period on June 15, 2017, could face cancellation of registration under the Foreign Contributions Regulation Act (FCRA) and review of renewal already granted. For the remaining defaulters with partial compliance, action is still being discussed and may be graded depending on the level of compliance.

The home ministry had, upon noticing that as many as 18,523 NGOs registered under FCRA had not filed their annual returns for some or all five years between 2010-11 and 2014-15, issued a public notice on May 12 asking them to file the same between May 15 and June 15. While describing it as a last chance for the defaulting NGOs, the ministry had assured them that no late fee would be imposed for late filing of returns.

Of the 18,523 defaulting NGOs as on May 14, 2017, as many as 1,835 had not filed returns for all five years in question, 5,766 had not done so for four years, 4,379 for three years, 3,398 for 2 years and 3,145 for one year.

At the end of the grace period, while 8,267 NGOs completely fell in line by filing annual returns for all five years, 2,239 did so for four missed years, 2,072 for three years, 2,057 for two years and 2,339 for one year. As many as 1,549 of the 1,835 NGOs who had not filed annual returns for a single year between 2010-11 to 2014-15, in gross violation of FCRA and Rule 17 of FCRR, have done so now.

Home ministry sources said the ministry is contemplating a graded response depending on the extent of compliance by the aforesaid NGOs, with the 286 defaulters yet to file a single return most likely to face cancellation of registration and review of renewal already granted. "As for the remaining, the likely penal action is still being discussed....Chances are that a graded penalty may be imposed, with the NGOs that have filed returns for four of five years being shown leniency and those who have filed returns for just one year facing tougher penalty," said a home ministry spokesperson.

There are roughly around 25,000 NGOs in the country registered under FCRA.

Source: http://timesofindia.indiatimes.com/india/10000-ngos-may-face-action-for-not-filing-fcra-returns/articleshow/59246858.cms

10,000 More NGOs To Lose Their FCRA Licence Because They Failed, To File Their Annual Returns.

The Union Home Ministry is Examining if the Foreign Contribution Regulation Act (FCRA) Licences of over 10,000 NGOs should be Cancelled, as they have not Complied with the Center's Order to File Annual Returns under 5 Categories. While over 8,000 NGOs did File their Returns under all the 5 Formats, most did not Comply Entirely.

NGOs that Receive Foreign Grants are Required to get a FCRA Licence & File 5 Annual Return Forms. There are over 20,000 NGOs Registered under the FCRA.

Since the NDA Government came to Power, the FCRA Licences of more than 11,000 NGOs have been Cancelled. More than 1,300 were Refused Renewal of their Licence for Violations of the FCRA.

'Deemed Expired'

In May this Year, the Home Ministry gave 18,523 NGOs whose Licences were "Deemed Expired" on Account of Non-Compliance, a 1 Time Opportunity to give Details of their Income & Expenses by June 14. The NGOs were asked to Submit their Annual Returns for 5 Years, from 2010-11 to 2014-15. However, so far only 8,267 NGOs have Filed such Returns, a Ministry Spokesperson said.

The Home Ministry is Examining what Action it could take against the Remaining 10,256 NGOs that have still not Filed all the Returns. 1 of the Options it's Considering is Cancelling their Registration.

Government Warning

A Home Ministry Spokesperson said that 2,239 NGOs had Filed Returns for 4 Years, 2,071 for 3 Years, 2,057 for 2 Years, & 2,339 for 1 Year. The Ministry had earlier Warned these NGOs that they might Lose their Registration if they Failed to give all the Details.

"The Last Date for Uploading Annual Returns for 2010-11 to 2014-15 is June 14, 2017. Failure to Upload all Annual Returns will lead to Cancellation of Registration/Renewal already Granted," Joint Secretary (Foreigners) in the Home Ministry Mukesh Mittal had said in an Order.

The Ministry had said that Starting May 15 & till June 14, NGOs could Upload their Missing Annual Returns along with the Requisite Documents within 30 Days. No Compounding Fee would be Imposed on them for Late Filing of Annual Returns during this Period, & this Exemption was a 1 Time Measure.

As per the Rules, the Renewal of Registration for Receiving Foreign Aid cannot be Granted unless the Organisation Uploads its Annual Returns to the FCRA Website.

Source: http://www.worldtvnews.co.in/?p=169400

Failure to furnish income details: Over 10,000 NGOs under MHA scanner

The ministry had said that between May 15 and June 14, all NGOs could upload their missing annual returns along with the requisite documents.

With many non-government organisations (NGOs) failing to furnish details of their income and expenditure to the government, more than 10,000 of them have come under the scanner of the Home Ministry and may end up losing the licence required to receive any foreign grant.

As many as 18,523 NGOs were given a one-time opportunity by the MHA in May this year to furnish details of their income and expenses by June 14.

The NGOs, which are registered under the Foreign Contribution (Regulation) Act or FCRA, which allows them to receive financial aid from abroad, were told to submit their annual returns for five years—2010-11 to 2014-15. However, only 8,267 NGOs filed such returns for all the five years, an official said.

The remaining 10,256 NGOs have still not filed all the returns but their details are under examination. A decision whether to give them another opportunity or cancel their licenses will be taken after the analysis, the official added.

There are 2,239 NGOs, which have filed returns for four years, 2,071 for three years, 2,057 for two years and 2,339 for one year, said the official.

The Home Ministry had earlier warned the NGOs that they will lose the registration if they fail to furnish the details. "The last date for uploading annual returns for 2010-11 to 2014-15 is June 14, 2017. Failure to upload the annual returns will lead to cancellation of registration/renewal already granted," joint secretary (foreigners) in the Home Ministry, Mukesh Mittal, had said in an order.

The ministry had said that between May 15 and June 14, all NGOs could upload their missing annual returns along with the requisite documents. No compounding fee will be imposed on them for late filing of annual returns during this period and this exemption was a one-time measure.

According to the rules, the renewal of registration for receiving the foreign aid cannot be granted unless the annual returns are uploaded to the FCRA website by the organisation. There are over 20,000 NGOs registered under the FCRA, the official said.

Source: http://indianexpress.com/article/india/failure-to-furnish-income-details-over-10000-ngos-under-mha-scanner-4714202/

10,000 more NGOs may lose licence

May not have filed annual returns

The Union Home Ministry is examining if the Foreign Contribution Regulation Act (FCRA) licences of over 10,000 NGOs should be cancelled, as they have not complied with the Centre's order to file annual returns under five categories. While over 8,000 NGOs did file the returns under all the five formats, most did not comply entirely.

NGOs that receive foreign grants are required to get a FCRA licence and file five annual return forms. There are over 20,000 NGOs registered under the FCRA.

Since the NDA government came to power, the FCRA licences of more than 11,000 NGOs have been cancelled. More than 1,300 were refused renewal of their licence for violation of the FCRA.

'Deemed expired'

In May this year, the Home Ministry gave 18,523 NGOs whose licences were "deemed expired" on account of non-compliance, a one-time opportunity to give details of their income and expenses by June 14. The NGOs were asked to submit their annual returns for five years, from 2010-11 to 2014-15. However, so far only 8,267 NGOs have filed such returns, a Ministry spokesperson said.

The Home Ministry is examining what action it could take against the remaining 10,256 NGOs that have still not filed all the returns. One of the options it's considering is cancelling their registration.

Govt. warning

A Home Ministry spokesperson said that 2,239 NGOs had filed returns for four years, 2,071 for three years, 2,057 for two years, and 2,339 for one year. The Ministry had earlier warned these NGOs that they might lose their registration if they failed to give all the details.

"The last date for uploading annual returns for 2010-11 to 2014-15 is June 14, 2017. Failure to upload all annual returns will lead to cancellation of registration/renewal already granted," joint secretary (foreigners) in the home ministry Mukesh Mittal had said in an order.

The Ministry had said that starting May 15 and till June 14, NGOs could upload their missing annual returns along with the requisite documents within 30 days. No compounding fee would be imposed on them for late filing of annual returns during this period, and this exemption was a one-time measure.

As per the rules, the renewal of registration for receiving foreign aid cannot be granted unless the organisation uploads its annual returns to the FCRA websi

Source: http://www.thehindu.com/news/national/10000-more-ngos-to-lose-fcra-licence/article19110087.ece

Over 10,000 NGOs set to face Home Ministry crackdown over foreign funding

The MHA in May had given 18,523 NGOs a one-time opportunity to furnish details of their income sourced from abroad. MHA had asked these agencies to declare income and its source from abroad by June 14.

Over 10,000 Non-Government Organisations (NGOs) have come under the scanner of the Ministry of Home Affairs (MHA) for not declaring their source of funding from foreign countries and they may even lose their license required to get grants from other nations. The MHA in May had given 18,523 NGOs a one-time opportunity to furnish details of their income sourced from abroad. MHA had asked these agencies to declare income and its source from abroad by June 14.

The MHA had asked these NGOs to declare income received from abroad from the 2010-11 financial year to 2014-15 financial year – a time frame of five years. Out of the 18,523 NGOs who were asked to furnish details only 8,267 NGOs filed details with the Ministry of Home Affairs an official told the Indian Express. The 10,256 NGOs which have failed to file the details are under examination. According to the official, the ministry will decide whether to give these NGOs an extension to furnish details or to revoke the license of these NGOs.

Out of the aforementioned 10,256 NGOs, 2,239 have filed details for four years, 2,071 have filed details for three years, 2,057 have filed details for two years and 2,339 NGOs have only filed details for a single year, according to the report.

The Home Ministry had told these NGOs that they may lose their license if they do not divulge details of the funds they have received from other countries. Mukesh Mittal, Joint Secretary (Foreigners), had in an order stated "Failure to upload returns for these five years will lead to cancellation of licenses which are issued or renewed".

According to the Indian Express report, the NGOs could upload their missing returns between May 15 and June 14. There are 20,000 NGOs registered under the FCRA.

Source: http://www.financialexpress.com/india-news/over-10000-ngos-set-to-face-home-ministry-crackdown-over-foreign-funding/729225/

NGO helps financially disadvantaged students pursue higher studies

Currently, TPO funds undergraduate courses, such as Bachelor of Business Administration, Bachelor of Science, among others, which require comparatively lesser fees than professional courses, like engineering.

As students prepare to join colleges soon, dreams of many remain unfulfilled due to financial constraints.
City-based Prasad Narayan's The Power of One (TPO) — a non-profit educational trust — aims to reach out to such students. Narayan, president and managing trustee of TPO, said, "TPO was started in October 2016, where people were requested to keep aside one rupee a day. The aim was to enable people to have 365 rupees each by the end of the year, This money can then by donated to children who have done well in Class XII but do have the financial support for further studies. Initially, it was only family members, friends and well wishers who supported the initiative, but gradually the network grew."

As many as 10 students will be financially supported this academic year. Among them, three are from night colleges — Amar Shinde (scored 80 per cent); Vitthal Deshmukh (scored 79 per cent) and Santosh Padnekar (scored 78 per cent). The trust has paid their fees for the first year of college and will also be sponsoring their education for the remaining two years. Currently, TPO funds undergraduate courses, such as Bachelor of Business Administration, Bachelor of Science, among others, which require comparatively lesser fees than professional courses, like engineering.

"TPO aims at educating more people and helping them gain a degree, so they don't drop out of school after finishing Class XII," said Narayan.

Narayan had worked in the IT sector for 20 years. He is now a visiting faculty with educational institutes, such as Tata Institute of Social Science, Sri Balaji Society, Maharashtra Institute of Technology and Academy of Engineering.
Unlike other non-governmental organisations, TPO has no minimum donation value, he said.

He added: though initially, the plan was to fund only Class XII passouts, when I read about a child who had passed his SSC with good scores after studying under the streetlights, the trust decided to fund for his education too.

Source: http://indianexpress.com/article/education/ngo-helps-financially-disadvantaged-students-pursue-higher-studies-4716181/

IED Coordinator

Organisation:  Govt of Odisha

Apply By:  27 Jun . 2017

Location:  (Odisha)

Application are invited from eligible candidates for filling up of various post as mentioned below under RTE-SSA, Deogarh district on contract basis with a consolidated remuneration mentioned against the post.

Post:  IED Coordinator

Qualification: Must be a Graduate with 1st. Division from any recognized university with Diploma or professional degree in special Education.

Monthly Remuneration: Rs. 9300 + Rs. 4200 + DA & Other allowances

For more information please check the Link : http://ordistportalcontent.nic.in/storeddata/results/ORIDBRH_RESULTS_2017_7095.pdf

EOI from Reputed Voluntary Organization/ NGO For The Scheme Of NGO Scheme Under “National Programme For Control Of Blindness (NPCB)

Organisation:  Govt of West Bengal

Apply By:  26 Jun. 2017

The District Health & Family Welfare Samity, Diamond Harbour Health District is inviting "Expression of Interest" from reputed voluntary Organization/ NGO for the scheme of NGO scheme under "National Programme for Control of Blindness (NPCB)" at Diamond Harbour Health District for one year as a Recurring Grant in Aid.

Eligibility Criteria:

Registered Under The Indian Societies Registration Act 1860
Having Well Trained Staff, Infrastructure And The Required Managerial Expertise To Organize And Carry Out Various Activities Under The Scheme; And Having Own Base Hospital As Requisite Of NPCB.
The Base Hospital Must Have In Patient Department & Updated Clinical Establishment License.
Track Record Of Having Experience In Providing Health Service In Eye Care Services Over A Period Of 3 Years.
Properly Constituted Managing Body With Its Powers Duties And Responsibilities Clearly Defined And Laid Down In A Written Constitution.
Must Have Unique ID In NGO Darpan Of NITI Aayog
Willingness To Follow RTI Act 2005

The interested VO/NGO are requested to submit their EOI along with self attested hard copies of all the relevant documents through speed post only to the office of the CMOH Diamond Harbour Health District PO & PS Diamond Harbour Pin 743331 within 26/06/17

For more information please check the Link : https://www.wbhealth.gov.in/uploaded_files/tender/27741.pdf

NGO empowers 17 lakh families in 17 years

Bandhan-Konnagar, a not-for-profit organisation which has been working in the fields of education, health andwomen empowerment, today celebrated "Development Day" on completion of 17 years of its existence. Since 2001, the organisation has transformed the lives of 1.7 million families spread across 11 states of India -- West Bengal, Odisha, Bihar, Assam, Tripura, Jharkhand, Chhattishgarh, Madhya Pradesh, Telangana, Uttar Pradesh and Rajasthan. So far, its various development programmes have benefited at least 8.5 million people. The organisation has 735 branches spread across 10,356 villages. Its 2,100 employees are actively involved in welfare of the poor as well as in the fields of education, health and women empowerment. The Development Day event was attended by Mr. Bruce Bucknell, British Deputy High Commissioner, Kolkata and Mr Jawhar Sircar, IAS & Ex CEO of Prasar Bharati.In the key note address at the event, Chandra Shekhar Ghosh, Founder & Mentor, Bandhan-Konnagar, said: "I am proud to share with you that in past 17 years we have touched lives of around 17 lakh families, in 11 Indian states. The journey of 17 years is dotted with many milestones and a few setbacks. Setbacks motivated us, and success gave us inspiration. Serving the underprivileged is an integral part of our plans to achieve inclusive growth."Bandhan-Konnagar is registered under the West Bengal Societies Act, 1961. The main objective of the organization is to empower poor people and alleviate poverty. To achieve that, it offers a suite of development programmess in the fields of education, health, livelihood promotion, skills development and financial literacy. The organisation constantly strives to widen its scope of services and minimize areas of income leakage in poor families.UNI PL RN 1529

Source: http://news.webindia123.com/news/Articles/India/20170618/3127915.html

FCRA Registration

FCRA

Applicability

WHO CAN RECEIVE FORIGN CONTRIBUTION?

A 'person', As Defined In Section 2(1) (m) With The Exclusion Of Those Mentioned In Section 3 Of FCRA, 2010, Having A Definite Cultural, Economic, Educational, Religious Or Social Program Can Receive Foreign Contribution After It Obtains The Prior Permission Of The Central Government, Or Gets Itself Registered With The Central Government.

Explanation 3 Of Section 2(h) Of FCRA, 2010, The Following Is Not Covered In The Definition Of Foreign Contribution:

"Any Amount Received, By Any Person From Any Foreign Source In India, By Way Of Fee (including Fees Charged By An Educational Institution In India From Foreign Student) Or Towards The Cost In Lieu Of Goods Or Services Rendered By Such Person In The Ordinary Course Of His Business, Trade Or Commerce Whether Within India Or Outside India Or Any Contribution Received From An Agent Of A Foreign Source Towards Such Fee Or Cost Shall Be Excluded From The Definition Of Foreign Contribution Within The Meaning Of This Clause."


WHO CANNOT RECEIVE FOREIGN CONTRIBUTION?

As Defined In Section 3(1) Of FCRA, 2010, Foreign Contribution Cannot Be Accepted By Any:

a Candidate For Election;
correspondent, Columnist, Cartoonist, Editor, Owner, Printer Or Publisher Of A Registered Newspaper;
Judge, Government Servant Or Employee Of Any Corporation Or Any Other Body Controlled On Owned By The Government;
member Of Any Legislature;
political Party Or Office Bearer Thereof;
Organization Of A Political Nature As May Be Specified Under Sub- Section (1) Of Section 5 By The Central Government.
association Or Company Engaged In The Production Or Broadcast Of Audio News Or Audio Visuals Or Current Affairs Programs Through Any Electronic Mode, Or Any Other Electronic Form As Defined In Clause (r) Of Sub-section (i) Of Section 2 Of The Information Technology Act, 2000 Or Any Other Mode Of Mass Communication;
Correspondent Or Communist, Cartoonist, Editor, Owner Of The Association Or Company Referred To In Clause (g).

Explanation - In Clause (c) And Section 6, The Expression "corporation' Means A Corporation Owned Or Controlled By The Government And Includes A Government Company As Defined In Section 617 Of The Companies Act, 1956. (i) Individuals Or Associations Who Have Been Prohibited From Receiving Foreign Contribution.

 
FCRA Registration

ELIGIBILITY CRITERIA FOR REGISTRATION

For Grant Of Registration, The Association Should:

be Registered Under The Societies Registration Act, 1860 Or The Indian Trusts Act, 1882 Or Section 25 Of The Companies Act, 1956;
Normally Be In Existence For At Least Three Years And Has Undertaken Reasonable Activity In Its Chosen Field For The Benefit Of The Society For Which The Foreign Contribution Is Proposed To Be Utilized. For This Purpose, The Association Should Have Spent At Least Rs. 6, 00, 000 Over Last Three Years On Its Activities, Excluding Administrative Expenditure. Statement Of Income & Expenditure Duly Audited By Chartered Accountant For Last Three Years May Be Enclosed To Substantiate That It Meets The Financial Parameter.
meet The Following Conditions:-

The Person Making An Application For Registration Or Grant Of Prior Permission Under Sub-section (1),- Sec.12 (4) (a):-

is Not Fictitious Or Benami;
has Not Been Prosecuted Or Convicted For Indulging In Activities Aimed At Conversion Through Inducement Or Force, Either Directly Or Indirectly, From One Religious Faith To Another;
has Not Been Prosecuted Or Convicted For Creating Communal Tension Or Disharmony In Any Specified District Or Any Other Part Of The Country;
has Not Been Found Guilty Of Diversion Or Mis-utilisation Of Its Funds;
is Not Engaged Or Likely To Engage In Propagation Of Sedition Or Advocate Violent Methods To Achieve Its Ends;
is Not Likely To Use The Foreign Contribution For Personal Gains Or Divert It For Undesirable Purposes;
has Not Contravened Any Of The Provisions Of This Act;
has Not Been Prohibited From Accepting Foreign Contribution:
The Person And/or Any Of Its Directors Or Office Bearers Have Neither Been Convicted Under Any Law For The Time Being In Force Nor Is Any Prosecution For Any Offence Pending Against Him.

The Acceptance Of Foreign Contribution By The Association / Person Is Not Likely To Affect Pre Judicially -

the Sovereignty And Integrity Of India; Or
the Security, Strategic, Scientific Or Economic Interest Of The State; Or
the Public Interest; Or
freedom Or Fairness Of Election To Any Legislature; Or
friendly Relation With Any Foreign State; Or
harmony Between Religious, Racial, Social, Linguistic, Regional Groups, Castes Or Communities.

The Acceptance Of Foreign Contribution-

shall Not Lead To Incitement Of An Offence;
shall Not Endanger The Life Or Physical Safety Of Any Person.

APPLICABILITY OF SECRETARIAL AUDIT:-

An Application For Registration Of An Organization For Acceptance Of Foreign Contribution Shall Be Made Electronically On-line In Form FC-3, And Shall Be Followed By Forwarding The Hard Copy Of The On-line Application Duly Signed By The Chief Functionary Of The Association Together With The Required Documents:

1. Form FC-3

2. Audited Statement Of Accounts Of Past Three Years.

3. Annual Report Specifying Activities Of Past Three Years.

4. If The Association Is A Registered Trust Or Society A Certified Copy Of The Registration Certificate.

5. Copy Of The Memorandum Of Association And/or The Articles Of Association As Applicable.

6. List Of Main Objects And Definite Programmes For Which The Contribution Is To Be Accepted / Utilized.

7. Details Of Names And Addresses Of The Members Of The Executive Committee/Governing Council Etc. Of The Association.

8. Copy Of Any Prior Permission Granted To The Organization.

9. Copy Of Resolution Of Governing Body Of The Organization, Authorizing The Registration Under FCRA.

10. Copy Of Power Of Attorney Or The Resolution Of Governing Body By Which The Chief Functionary Is Authorized To Submit FC-3.

11. List Of Present Members Of The Governing Body Of The Organization And The Office Bearers.

12. Copy Of Permanent Account Number (PAN) Issued By The Income Tax Department

FCRA Return

ANNUAL RETURN

An Association Permitted To Accept Foreign Contribution Is Required Under Law To Maintain Separate Set Of Accounts And Records Exclusively For The Foreign Contribution Received And Utilized;
Submit An Annual Return, Duly Certified By A Chartered Accountant;
Giving Details Of The Receipt And Purpose- Wise Utilization Of The Foreign Contribution.

TIME PERIOD OF FILING ANNUAL RETURN

The Return Is To Be Filed For Every Financial Year (1st April To 31st March) Within A Period Of Nine Months From The Closure Of The Year I.e. By 31st December Each Year.
Submission Of A 'Nil' Return, Even If There Is No Receipt/utilization Of Foreign Contribution During The Year, Is Mandatory.
The Return Is To Be Submitted, In Prescribed Form FC - 6, Duly Accompanied With:

balance Sheet And
statement Of Receipt And Payment,


Which Is Certified By A Chartered Accountant

FCRA Registration

An NGO can receive donations just after initial registration under trust act. Section 8 of Companies Act 2013. The next milestone is to avail registration for tax exemption on the income of an NGO; it is required to obtain approval from Income tax department under section 12 A, further to attract donor, NGO prefers to get a 80 G Certificate so that contributors can avail tax benefits on the donation made to the NGO.

FCRA registration is required to receive donations outside India; The NGO is required to be registered under the provisions of the foreign contribution regulation act, 1976.

For FCNRO registration an NGO must have completed three years of operations. FCRA Registration is granted by the Ministry of Home Affairs, Govt. Of India.


Documents Required For FCRA Registration

·         Copy of PAN of the NGO.

·         Past 3 years Audited Balance Sheet, Income & Expenditure Account.

·         Certified copy of Trust Deed/MOA.

·         Detail about the current and past management of the trust.

·         A Copy of certificate issued by the Income Tax Authority under 80G & 12A of the Income Tax Act.

·         Annual report of the NGO and details of work done in past 3 year.

·         True copy of resolution passed by the Governing Body of the NGO.

·         True copy of Undertaking from the Chief Functionary of the NGO.

NGOs must be made accountable

Non-Governmental Organizations (NGOs) have a very important role to play in any democracy, more so in developing economies. NGOs are supposedly the custodians of propriety in public life and watchdogs of public interest at large.

The important qualification for any NGO and the people behind it is therefore the highest degree of integrity and character. The day these basic ingredients are compromised, that NGO forfeits its moral right to function.

Unfortunately in recent years, overall degeneration in value system across sections of society has been frighteningly fast and NGOs are no exception. Many NGOs today are playing in the hands of one vested interest or the other. Initially, vested interests used the NGOs by feeding them with information against rival interests and achieved their motives.

However now many NGOs have acquired financial muscle and have now started extorting moneys. An unfortunate methodology of some NGOs is to watch developments until a project promoter has invested time and money. After the promoter gets necessary government clearances/permits and starts the project with a large investment, the NGO starts objecting. At the same time, it quietly meets the promoter and negotiates a deal to extort money.

If the NGO fails to extort desired amounts, it goes to courts of law including Green tribunals. As a matter of fact and in the interest of equity, if promoters have obtained necessary clearances before going ahead with their project, they should not be disturbed.

If the matter comes before adjudicating authorities, they should penalise government agencies that gave clearances for wrongdoing rather than promoters as long as they have adhered to terms of clearances. If the promoters violate any conditions, they should not be spared.

Promoters often face unnecessary litigation after obtaining all clearances and suffer time and cost overruns that make a project unviable. If at the end of the litigation it is found that the promoter has not committed any wrong, the complaining NGO and governments should be directed to make good the loss.

Without such directions, developmental work will suffer on the one hand and on the other entrepreneurs will keep away from projects of national importance.

While in some cases the concerns raised by NGOs are valid, a detailed scrutiny will show that in many cases, the NGOs produce no substantial evidence nor possess expertise in the field. An analysis of the past 25 years is necessary to determine if NGOs have caused more harm than good to people, the economy and the environment.

Another dangerous facet of these NGOs is that many serve the cause of international agencies or multinational corporations by spreading gross lies through expensive media campaigns to influence institutions granting sanctions and those adjudicating issues.

Many major projects, including greenfield projects have been victims of unchecked blackmail by so-called NGOs. India has lost big opportunities in the international market amounting to billions of dollars to rival international players. Lop sided activism has harmed society irreparably.

There are instances of public sector companies engaged in mining activity that had planted millions of trees in the vicinity and provided a green cover being ordered to stop work at the behest of so-called green activists who were proved to be batting for international players.

While highlighting this unfortunate state of affairs in the NGO sector, I do not wish to undermine the importance of NGOs in society. I only want to draw the attention of governments to device a mechanism through which genuine NGOs flourish but those engaging in malpractices are checked.

Similarly, adjudicating authorities should exercise caution before entertaining petitions from any and every NGO.

There is very little accountability of NGOs today.

The need of the hour is to make them accountable. Transparency with regard to their activities and funding must be made public; and NGOs should be asked to put their balance sheets and projects in public domain. NGOs found to be making grossly incorrect allegations twice or thrice should be black listed for at least three years to ensure that the status of an NGO is not misused.

A judicious balance is required to be struck between green activism and development in the interests of the public at large.

Wrongdoings of business and industry are responsible for growth of NGOs, good and unscrupulous; similarly, wrongdoings on the part of NGOs will give an opportunity to trade and industry to play victim.

Under the circumstances, the role of governments and the judiciary becomes more important.

Source: http://www.thestatesman.com/opinion/ngos-must-be-made-accountable-1496872898.html

Notification regarding validation of Bank Accounts

The FCRA Department through its notice dated 7th June, 2017 has now asked 2025 NGOs to update their FCRA bank details by 22-June-2017. The circular in this regard has been attached herewith.

Further, the list of such Associations has been provided in the below link https://fcraonline.nic.in/home/PDF_Doc/fc_list_07062017.pdf

The list is sorted alphabetically. You may search for the name of your organization in the list to ensure whether the name features in the list. If yes, then the details of your FCRA Designated Bank Account and all utilization Accounts should be updated by filing form FC-6 online at https://fcraonline.nic.in/fc_public_login.aspx?Resp_Id=3

Series of workshops on Good and Service Tax (GST) & FCRA Compliance

Dear Colleagues,

Greetings!

As you might be aware that Goods and Service Tax Bill was passed in the Parliament and GST Act would be applicable in India from 1^st July, 2017. Therefore, we have been receiving few queries on the additional compliance requirements for NPOs with respect to GST. Thus, to address significant issues, respond to queries and provide clarity pertaining to the changes in the statutory regulations we are conducting a series of one day workshops on "Good and Service Tax (GST) & FCRA Compliance."

In the first phase, we would be covering 4 Indian cities. The list of cities in the order of the workshop is as follows: 

S.no	Place of workshop	Date of workshop
1	New Delhi	19th July 2017
2	Kolkata	21st July 2017
3	Hyderabad	5th September 2017
4	Bangalore	6th September 2017

A brief overview of the GST Act and its applicable rules would be covered in this workshop with special focus on its applicability to the NGOs. This would also cover other aspects such as Migration to GST, Reverse Charge Mechanism and Subsuming of Existing Taxes such as VAT, Service Tax etc. Apart from GST, a brief update on FCRA covering the latest amendments and Compliances would also be covered in this workshop.

The brochure with the dates for each workshop is being attached for your reference. As the seats are limited to 50 for each venue, we request you to register as soon as possible. To register, please click here. If you have any queries regarding the workshop, you may write to Ms. Akrita Bharos- Capacity Building Coordinator at akrita.bharos@fmsfindia.org

Kindly circulate this brochure widely among your network for wider reach. 

Dr. Sanjay Patra
Executive Director

Inviting Applications for Organizational Capacity Enhancement Program

Dear Colleagues,

Greetings from FMSF!

Financial Management Service Foundation (FMSF) in association with Oracle India is pleased to announce the Capacity Building Program for NGO's entitled "Scalable & Replicable Model of Accountability".  For further details on FMSF, please visit our website www.fmsfindia.org

This program provides a unique opportunity for the NGO's to develop their Governance and Financial Management system. It is a one year program, wherein every organization selected will undergo two workshops focusing at "Strategic Management level"and "Operational Management level" in the areas of Governance, Financial Management and Legal Compliances. This will be followed by mentoring and guiding support which will span over a 6 months period. At the end, every organization who will successfully complete the program will be accredited by FMSF and Oracle India for a period of one year.

This program is being conducted with the generous support of Oracle India and therefore the participating NGO's do not have to make any financial contribution/fees for enrolling in the program.

Learning Objectives:

The programme aims to create centers of excellence by infusing concepts, tools and techniques that will lead to development of robust systems and processes and take the organization towards higher echelon of accountability standards. The other immediate benefits envisaged are:

·  Compliant to legal regulations

·  Professionalization of financial management practices

·  Higher visibility in the sector

·  Attract potential foreign and national funding

·  One year Accreditation by FMSF and Oracle India.

Eligibility Criteria:

This program is targeted towards small and medium scale voluntary organizations who have limited access to funding, technology and professional expertise. The bifurcation of small and medium scale organizations will be done on the basis of annual turnover .i.e.:

·  Small organization- 50 lakhs to 1 crore rupees

·  Medium organization -1 crore to 5 crore rupees

The applying organizations should have:

·  Incorporation certificate

·  12A registration certificate

·  Valid FCRA registration certificate (if any)

·  Organization operational since last 5 years etc.

Program Outreach:

In the pilot phase, 15 NGO's each in small and medium category will be selected from the following states:

·  New Delhi

·  Rajasthan

·  Uttar Pradesh

·  Uttarakhand

Selection Process:

NGO's who come from the above mentioned states which fulfill the above mentioned eligibility criteria are requested to fill in the "Online Application" in the link given below:

 https://docs.google.com/a/fmsfindia.org/forms/d/1O2CzwnYWvLOJx9CM3CkxB2Fe79rtvyVgsitpiZTPQEU/edit?usp=forms_home&ths=true

 The last date of registration is 30th June 2017.

The shortlisted organizations will be sent a confirmation mail of their selection by first week of July 2017. Further, process will be communicated accordingly to selected organizations.Incase of any further clarification or information required, please write to Ms. Akrita Bharos, Capacity Building Coordinator at akrita.bharos@fmsfindia.org.

with regards

Dr. Sanjay Patra
Executive Director

2nd Announcement

Notification regarding filing of Form No. 61 A – Non applicability to NGOs

It has come to our notice that there is a fare bit of confusion regarding filing of Form 61 A for NGO. Therefore we are issuing the following clarification :-

NGOs are not covered under any of the following categories and therefore are not required to file form 61A.

To keep a watch on high value transactions undertaken by the taxpayer, the Income-Tax law has framed the new concept of furnishing of  Statement of Financial Transactions (SFT) in Form No 61A which has to be filed before 31.05.2017 (now extended to 30.06.2017, Notification attached). It has replaced earlier annual information return reporting.

The following persons shall be required to furnish statement of financial transactions or reportable accounts registered or recorded or maintained by them during a financial year to the prescribed authority on or after 1st day of April, 2016.

·         Any person who is liable for audit under section 44AB of the Act

·         Banking Company

·         Co-operative Bank

·         Post Master General of Post office

·         Nidhi referred to in sec 406 of the Companies Act 2013

·         Non-banking Financial Company (NBFC)

·         Any Institution issuing Credit Card

·         Company or Institution issuing bonds or debentures

·         Company issuing shares

·         Trustee of a Mutual Fund

·         Authorized Dealer, Money Changer, Off-shore Banking Unit or any other person defined in FEMA, 1999

·         Inspector-General or Sub-Registrar appointed under Registration Act, 1908

Since the NGO does not fall in any of the above categories, therefore, it is not required to file Form 61A.

Update your FCRA Bank Details Immediately!

FCRA Department has now asked 2025 NGOs to update their FCRA bank details by 22-June-2017. The names of these NGOs are given in a list here:
https://fcraonline.nic.in/home/PDF_Doc/fc_list_07062017.pdf

The list is sorted alphabetically. You can download and search it for your NGO's name. If you are a donor agency, please check the list for names of your grantees or partners, and alert them.

The details should be updated by filing form FC-6 online at https://fcraonline.nic.in/fc_public_login.aspx?Resp_Id=3

If you don't update the details by 22nd June, you may face further action by FCRA Department.

And if you don't share this mail immediately with 10 others, then you alone will be responsible for any misfortune that may befall them! ;)