Is it possible for NGO to open branch office outside India

Dear Members,

Is it possible for a Trust (NGO) to open a branch office outside India, If required modification can be done in Trust deed?

We can take assumption that we’ll not use any funds raised in India for that office whether it is FCRA or Local.

Vikas Pandey

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2 Responses to Is it possible for NGO to open branch office outside India

  1. Avineesh Matta says:

    Also see that application outside India of income received by charitable trust in India may not be exempted u/s 11 of the Income Tax Act.

  2. Subhash Mittal says:

    RBI has quite a liberal policy in allowing to open bank accounts outside India, it allows not only companies but individuals to open bank account outside India. In fact in case of companies, even prior permission is not required, however since RBI is silent in case of NPOs, I suggest you should seek permission from RBI, before opening any such account. Although there FCRA does not have any jurisdiction in opening of bank accounts, but these days FCRA may want to involve in this too.

    Major issue in case of NGOs wanting to take funds outside India or spending money outside India, is that under S.11(1), all application of an NGO’s income must be for charitable or religious purposes in India. Hence if any income your NGO receives and is shown as utilised for purposes outside India than that amount cannot be included as application.

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