FCRA is the Foreign Contribution Regulation Act, which was enacted in the year 1976. The act regulates the receipts of the contribution made by foreigners to India. The primary purpose of introducing this act was to ensure that the cash flow from abroad is not being utilized for any political or illegal purposes. Many charitable organizations receive funds or are sponsored by foreigners therefore to ensure that this money is not utilized for any other purpose the act was introduced. All the charitable trust or organizations receives their funds from outside in India under the purview of this act. 

The main objects of the FCRA act are: 

1. To regulate and accept the foreign aid for the charitable trusts, associations, or societies that are established in India. 
2. To stop the flow of foreign funds, as those are being used for the activities that are against the interest of the nation and for matters connected with the same. 

Foreign contribution can be received by the following: 

1. Trusts 
2. Societies or associations 
3. Section 8 companies 
4. Individuals
5. HUFs 

Any private company may also receive such funds or aid if they are willing to do charitable work. There are certain conditions for such companies to fulfill such as it should be for the promotion of a specific field be it science, arts, literature, culture, music, etc, it should not be prohibited under section 3 of the FCRA Act and it must obtain the FCRA registration. 

Section 3 of the Foreign Contribution Regulation Act, states about the category that is prohibited or not allowed to receive the funds from Foreign, few of them have been listed below: 

1. A person who is a Candidate for election
2. Owner, publisher, printer, cartoonist, columnist, editor, correspondent of a registered newspaper
3. Public servants include Judges, government employees, and also employees of a corporation that is owned by the government. 
4. Member of legislature
5. Any political party

To get registration under the FCRA Act, the following criteria must be fulfilled: 

1. In the case of society, it should be registered under the Society Act, trust should be registered under the Trust Act or if it is a section 8 company then it should be registered under the Companies Act. 
2. The organization must be 3 years in existence and should have worked in its chosen field for the welfare of the society for which the funds are being provided by the Foreigners.

The amount spend to achieve the objectives related to their field which they aim to promote should be at least Rs 10,00,000/- 

1. over 3 years. This must be excluding the administration expense.
2. It must submit the statement of income and expenditure, duly audited by the CA, for the last 3 years, to meet the financial parameters. 

In case any organization that is not 3 years into existence wants to be registered under the FCRA act, then it may apply for the grant of prior permission under the FCRA Act, 2010.

This Article Does Not Intend To Hurt The Sentiments Of Any Individual Community, Sect, Or Religion Etcetera. This Article Is Based Purely On The Authors Personal Views And Opinions In The Exercise Of The Fundamental Right Guaranteed Under Article 19(1)(A) And Other Related Laws Being Force In India, For The Time Being.