Intimation about foreign contribution to Central Government [ Section 18 ] - FCRA - Ready Reckoner - FEMA

Intimation about foreign contribution to Central Government Intimation about foreign contribution to Central Government Every person who has been granted a certificate or given prior approval under this Act shall give, within such time and in such manner as may be prescribed, an intimation to the Central Government, and such other authority as may be specified by the Central Government, as to the amount of each foreign contribution received by it, the source from which and the manner in which such foreign contribution was received, and the purposes for which, and the manner in which such foreign contribution was utilised by him. [ Section 18(1) ] Every person receiving foreign contribution shall submit a copy of a statement indicating therein the particulars of foreign contribution received duly certified by officer of the bank or authorised person in foreign exchange and furnish the same to the Central Government alongwith the intimation under section 18( 1 ). [ Section 18(2) ] Intimation of foreign contribution by the recipient Every person who receives foreign contribution under the Act, shall submit a signed or digitally signed report in electronic form in Form FC-4 with scanned copies of income and expenditure statement, receipt and payment account and balance sheet for every financial year beginning on the 1st day of April within nine months of the closure of the financial year. [ Rule 17(1) of FC(R) Rules 2011 ] Reporting receipt of foreign contribution by recipients The Annual Return in Form FC-4 shall reflect the foreign contribution received in the exclusive bank account and include the details in respect of the funds transferred to other bank accounts for utilisation. [ Rule 17(2) of FC(R) Rules 2011 ] Intimation of foreign contribution The intimation shall be submitted in FORM FC-1 If If the foreign contribution relates only to articles [ Rule 17(3) of FC(R) Rules 2011 ] If the foreign contribution relates to foreign securities , [ Rule 17(4) of FC(R) Rules 2011 ] Report certified by the Chartered Accountant Every report submitted under rules 17(2) to (4) shall be duly certified by a chartered accountant . [ Rule 17(5) of FC(R) Rules 2011 ] Exception:- where foreign contribution has not been received or utilised during a financial year. It shall not be required to enclose certificate from Chartered Accountant or income and expenditure statement or receipt and payment account or balance sheet with Form FC-4. [ Proviso of Rule 17 of FC(R) Rules 2011 ] Report to be certified by bank officer Every such return in Form FC-4 shall also be accompanied by a copy of a statement of account from the bank where the exclusive foreign contribution account is maintained by the person, duly certified by an officer of such bank . [ Rule 17(6) of FC(R) Rules 2011 ] Preservation of Records The accounting statements referred to above in the preceding sub-rule shall be preserved by the person for a period of six years . [ Rule 17(7) of FC(R) Rules 2011 ] Mandatory to Furnished Report A NIL report shall be furnished even if no foreign contribution is received during a financial year. [ Rule 17(8) of FC(R) Rules 2011 ]