Latest developments on Lokpal Implementation

Considering a number of demands from SRRF Dialogue members and even beyond a workshop was organized by SRRF to update the members on 7th July. Through SRRF Dialogue we have been bringing all our members upto date with the latest provisions on Lokpal.

During the workshop participants were apprised of provisions but also explained that there was a need to write to the Govt on non-practicability of the provisions as well as requesting for extension of date of 31st July. SRRF is also submitting to Dept of Personnel & Training (nodal Dept) requesting extension of last date for filing of such returns, considering too little time for understanding the law, preparing returns not one but for three years and for entire family. We also request SRRF Dialogue members to send such requests on following address The Secretary, Department of Personnel & Training, Ministry of Personnel, Public Grievances and Pensions, North Block, New Delhi 11001 (email:

Some of the faculty and several participants also shared their experience that ‘most Govt servants have not filed the returns and seem oblivious to the requirement’. While that cannot be the reason for not filing the return, however it indicated that it is quite likely that the last date for the return filing could be extended. It may also be noted that the Govt has extended the last date 7 times so far. In view of the same, while no one, except the Govt, can guarantee extension, however we all hope that it will be done. In fact several players both within the Sector and even from corporates are making strenuous efforts in this direction, including writ petitions.

Socio Research & Reform Foundation (NGO)
512 A, Deepshikha, 8 Rajendra Place, New Delhi – 110008

Posted in Accountability | 5 Comments

Queries: Lokpal and Lokayukts Act 2013

Dear Sir,

Lokpal and Lokayukts Act, 2013 applicable to NGO from 20th June 2016.  We need your help on following points.  You are requested to give your suggestion so that it helps us to follow this act.

  1. Definition of Public Servant as per Act.  Can all the members of the Board of Trustee became a public servant?.
  2. In our case we think that our Two Directors and CEO are likely to be covered by the Act as they are the making the day to day decisions of the affairs of the Trust.
  3. Act is applicable to those NGO who receive grant/donation from central government directly for more than rupees One Crore OR more than Rs. 10/-lacs from foreign sources.   Our trust is not receiving the funds directly from central government but from different departments of the state governments for more than Rs1/-crore.
  4. Our Trust is receiving foreign fund directly from foreign country and also though its branched in India.
  5. The applicability is,  If  both the  above conditions ( i.e Point -3 & Point-4)  is not fulfil in particular year whether our trust is cover under this act or not?
  6. Office bearers of the trust have to file annual return of assets and liabilities by 31st July every year.  Our point is to whom or to which authority the return is to be filled?  Whether return is to be filled online or off line?
  7. The Trust has to file original declaration or annual return may be filled before the Ministry or Department making the highest contribution as financial assistant  and a copy of the return may be sent to all other Ministry or Departments.   Our point is For FCRA fund there is no issue but if we received fund from Ministry under which format we have to file annual return/declaration.

Under the above act, the NGO/Organisation is also covered for the filing the annual return means over and their office barriers?

Your advice will be of great help to us.

With Regards

POST BOX NO. 71, DAHOD – 389 151

Posted in FCRA, TAX, LEGAL | 6 Comments

Applicability of Lokpal on Branch Office /Liaison Office

Micronutrient Initiative (MI) is a non-profit organization registered in Canada with its head office in Ottawa and branch office at New Delhi. Request to clarify if Lokpal Act is applicable for branch office or only for organizations registered with FCRA.


Ramya Haricharan

An other query received on the same topic from Mr. Kushal
Dear Members,

I have two questions.

i. Can any one from this group advise if a Branch office or Liaison Office of an INGO will be covered under this new regulation under Lokpal and Lokayuktas Act 2013 (LLA, 2013?

ii. Will this regulation apply to Section 8 companies as well?

Thanks & Best Regards,


Posted in FCRA, TAX, LEGAL | 7 Comments

Filing of IT Return if Income below minimum

Kindly provide your expert opinion

I could not reach through your web site as the same is not get opened

There is an N G O registered under 12 A

During the last financial year it has earned 2.4 lakhs as interest from its fixed deposits and
Savings Bank account

The F D and S B account is from the corpus donations and other accruals of prior years

There is no income other than the bank interest of 2.4 lakhs

No expenditure is there other than office maintenance – which is 3 thousand

Thus there us an income of 2.4 lakhs from interest and expenses of 3 thousand leaving a surplus of 2.37 lakhs.

The utilization is clearly very low

As income/ surplus is below taxable limit (2.50 lakhs), the N GO can claim T D S made by bank

No intimation of cary forward of unutilized fund is filed with the I T O any complications are there

an advise on the matter will be highly appreciated


H Iyer

Posted in FCRA, TAX, LEGAL | 2 Comments

FCRA registered organizations can now be verified from FCRA website

This is to bring to notice of all SRRF Dialogue members and particularly the funding agencies which provide funds to other NGOs that the FCRA Dept has now started a facility, whereby such agencies can directly verify the validity of their FCRA registration from the FCRA website itself.

The new facility called Validity Verification of FCRA Certificate provides complete detail of the FCRA registered entity, its name, address, fcra when registered, validity period, if Renewal application filed, the date of such filing, etc. Please see the screen shot below.



Socio Research & Reform Foundation (NGO)
512 A, Deepshikha, 8 Rajendra Place, New Delhi – 110008
e-mail:; website:

Posted in FCRA, TAX, LEGAL | 7 Comments

FCRA Renewal Certificate

Dear Sir,

We had applied for FCRA renewal within the stipulated date and from the fcra online website, came to know that the renewal has been granted and approved.

Is there any process to get the FCRA Renewal certificate to give a copy to donors and banks who are asking for the same.

There has been no notification on when one would obtain the same and hence would appreciate if any information has been shared.

I believe a lot of NGO’s are in the same category.



Posted in FCRA, TAX, LEGAL | 15 Comments


Respected Sir/Madam.

Our NGO Chaitantya rural development social service society,Kurnool. our NGO Functioning since 1995 at Kurnool District . We are working nearly 12 Mandals . OUR Society fcra account Opened in Indian overseas bank . FCRA Account opened in 2009 Deposited 1000/- FCRA Sanctioned 2009. But Bank Manger closed our society bank account in sufficient balance purpose . no foreign projects sanctioned. But present otf projects sanctioned bank account not functiong the amount go back . please give solution another bank account how can add fcra

Kalluru Raja

Posted in FCRA, TAX, LEGAL | 4 Comments

Workshop Report – Compliance with Lokpal and Lokayukta Act by NGOs – July 7, 2016

Workshop on Facilitating Compliance with Lokpal and Lokayukta Act 2013 organized by Socio Research & Reform Foundation (NGO)-SRRF

SRRF’s Centre for Responsible CSO Boards (CSObGOV) organized  a half day session Facilitating Compliance with Lokpal Act by NGOs at India International Centre (Annexe) on Thursday 7th July 2016 form 2:00 PM to 5:PM

The workshop discussed the latest provisions in the Lokpal & Lokayukta Act 2013. It particularly looked at the applicability of the Act to NGOs, explaining the provisions, going through the format of Returns prescribed (field by field) and consequences of non-compliance. The aim of the workshop was to facilitate NGOs comply with the legislation and bring clarity on this issue to the Sector.

There were 70 (+) participants at the workshop from CSOs (NGOs), and individuals involved and working in this sector.

After a welcome by the President of SRRF, Mr Vijay Sardana, which set the context for the consultation in the light of the need for CSOs to be accountable and transparent, since they performed such an important development role in the country. Mr Sardana highlighted the fact that the Act could be a way to strengthen Boards with strong and good governance and leadership. His note was then added to by CA Subhash Mittal, by highlighting the fact that the Act and its ramifications needed to be looked at in the context of a difficult environment for NGOs and the need for greater accountability and transparency, and ways and means to bring a positive focus on the good development work that CSOs (NGOs) do.

First Technical Session by Mr Mittal covered – major provisions of the Act; applicability to NGOs; annual return filing; consequences of not filing; and current status of implications.

Mr Deepak Bansal then went into the details of the preparation of the annual returns and took the audience through this part, section by section.

The entire proceedings were interspersed with lively questions and repartees.

Some of the key concerns that were voiced were as follows:

  • This Act seeks to cover individuals who either work in CSOs (NGOs) or are Board and Executive Committee members- the obligation to report was not of the organization but of the individual.
  • As of now the returns have to be filed in with the competent authority mentioned in the Act by 31st July 2016; most people felt this was unrealistic
  • Board members were resigning, as would HNIs (High Net-worth Individuals) who have joined these Boards to contribute to development of society through resources and their expertise. They are not remunerated for these efforts in the NGOs that they support
  • Putting this information on websites of MHA violates the confidentiality of this information for the individual concerned
  • Many aspects of the Act are linked to interpretation for example to what extent staff is covered and which staff. Are all Board members covered or only those who hold the office of a Secretary, Treasurer or Chairperson.
  • NGOs should take up the issues with the right and competent authority in the MHA – appreciating the ambit and focus of the Act but asking for clarifications as well as why it should apply only to CSOs (NGOs) who only deal with limited resources as opposed to the Corporate sector and its office bearers
  • The implementation has been postponed many times when the Act earlier applied only to Public servants who were Government employees
  • A final recommendation was to join up Groups on this issue and develop a concrete action plan to take to the right authority in the Government with recommendations for changes ASAP – include the comments from this workshop- in a preliminary letter to this authority followed by a meeting.

The session closed with a vote of thanks by Ms. Alka Pathak, Member, Core Team, SRRF’s Centre for Responsible CSO Boards and some high tea for the participants.

Socio Research & Reform Foundation (NGO)
512 A, Deepshikha, 8 Rajendra Place, New Delhi – 110008
e-mail:; website:


Posted in Accountability | 1 Comment

Clarification on Lokpal Act

Dear Members,

Now that NGOs are under the purview of Lokpal Act, many clarifications are required:

  1. What ‘executive’ mean as per the Act? Would it mean ALL staff?
  2. Would all trustees become ‘executives’ or only those who are remunerated by AT?
  3. Do the ‘executives’ have to fill in the returns every year till they are with the Trust or only during the year when the Trust received more than “One Crore only” from the Central Government or “Ten Lakhs” from foreign source?
  4. What is the grant from Central Government? Only if directly received or through a State Health Society, NGO partner? WOuld it be applicable to all those partners who received parts of this One Crore/ten Lakhs also through the Trust?
  5. What are the Return forms? If not available, when they would be?
  6. What is included in the term Wealth, does it mean immovable and movable property, investments, ornaments, cash and bank? How to value the wealth? Value at the time of purchase? Or current value? Wealth of only the ‘executives’ or ‘the family’ or ‘the spouse’?

Kindly advice.

Thanks and regards

Dhruv Mankad

Posted in Accountability | 11 Comments

Impact of changes in Definition of CSR Companies

Dear Members,

In terms of the recent amendment to FCRA under the Finance Act, 2016, Indian companies with more than 50% foreign shareholding will no more be considered a foreign source under the FCRA provided that the the nominal value of share capital in such companies is within the limits specified for foreign investment under the Foreign Exchange Management Act, 1999. Therefore, an Indian company with more than 50% foreign shareholding will be able to make contributions/grants/donations to other organizations without the requirement of FCRA approval. Will it impact anyhow on the companies having 100% foreign shareholding private limited companies.


N K Sinha

Posted in CSR | 3 Comments