Fcra contribution

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

13 August 2014 We are an NGO working with a corporate undertaking their CSR programmes.They informed us that the donations which they sent to the NGO is foreign because the major shareholders are foreign.The local bank is objecting to deposit the grant in our foreign contribution account as there is no sufficient proof for the source. Kindly help; us to show a solution top our problem.

CA UMESH DULAL

CA UMESH DULAL (Expert)
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13 August 2014 Register for FCRA, your problem will be solve

CA UMESH DULAL

CA UMESH DULAL (Expert)
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13 August 2014 Register for FCRA, your problem will be solve

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Nikhil Kaushik

Nikhil Kaushik (Expert)
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13 August 2014 Dear Umesh,

the querist already has a foreign contribution account.

Dear querist,

Normally it is other way around where banks flag a donation as foreign contribution and the NGO treats it otherwise. Regardless bank does has a right to question the source.

To prove your case, you need to provide the shareholding details of the company.

For your assistance, please note that money coming from a company registered in India more than one-half of the nominal value of its share capital is held, either singly or in the aggregate, by one or more of the following, namely:-
(A) the Government of a foreign country or territory;
(B) the citizens of a foreign country or territory;
(C) corporations incorporated in a foreign country or territory;
(D) trusts, societies or other associations of individuals (whether
incorporated or not), formed or registered in a foreign country or territory;
(E) foreign company;

shall be treated as foreign source.

Querist : Anonymous

Querist : Anonymous (Querist)

14 August 2014
very good morning and Thanking you for all,

which document we have collect from Donner to submit to Bank because of Bank people asked us proper document for proof of Donation foreign or Indian concurrence

Querist : Anonymous

Querist : Anonymous (Querist)

Nikhil Kaushik

Nikhil Kaushik (Expert)
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14 August 2014 ask bank what satisfies them...generally the shareholding patten should be suffice.

Querist : Anonymous

Querist : Anonymous (Querist)

14 August 2014 Thanking to you for kind information

we go through this information to solve the problem if any information regarding this matter please share to us

thanking

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CA UMESH DULAL

CA UMESH DULAL (Expert)
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14 August 2014 we are always here to help you man...