Query:- FCRA- Receipt of medicines from abroad.

Posted on July 25, 2012 by SRRF

Dear Sir,

Greetings from New Life!

We received Vitamin A capsules from a foreign agency for one of our projects. However the capsules were sent to one of the organisation in India and then resent to us from the Indian organisation. How this is to be accounted for? Is this to be reported to the Home Ministry. I think the old form for reporting articles received from abroad is Form 6. Now what is the form in which we should report?

Regards
—
F. Beatrice Vanaja,
Chief Administrative Officer,

New Life,

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3 Responses to Query:- FCRA- Receipt of medicines from abroad.

  1. Subhash Mittal says:
    July 27, 2012 at 10:49 am

    Dear Father Vanaja,

    This is an interesting query.

    Issue that needs to be clarified is whose intention it was to send the medicines to New Life (your organisation) and to whom. If donor’s intention was to transfer the drugs to the intermediate organisation (from whom New Life rec’d the drugs) and the decision to transfer the drugs is that of this intermediate agency. Then the status of intermediate organisation becomes important, is it FCRA registered or not. If not, then no need for New Life to treat the transaction under FCRA.

    However if the original donor always wanted to transfer the drugs to New Life and the same was also mentioned in the agreement or if the intermediate agency is a FCRA registered agency, then New Life should treat the transaction as falling under FCRA and file the necessary return (FC7).

    Another angle is that in case the intermediate organisation is a govt organisation, then also there is no need to disclose under FCRA.

    Hope the above discussion and earlier discussion by other members has been helpful in providing more clarity.

    with warm rgds

    subhash mittal

  2. DIVYESH SURATI says:
    July 25, 2012 at 8:33 am

    Dear Beatrice Vanaja,

    In this regards, I would like to know what is the purpose of the medicines which is received from the First recipient in India.
    I hope the same has been received for the distribution. If is so, It is not an article. This is to be shown in the form No. FC-6 as receipt of “Donation in Kind”
    If it is in kind donation, we have to calculate the Value amount of donation according to the current price and shown in to FC-6 in Donation in Kind as 2nd recipient-Column. Further whatever the medicines utilized, the cost of same is to be shown in utilized column and balance cost in the Balance Column as in kind.

    Hope the same will fulfill the requirement.

    With regards,

    DN Surati

    Nehru Foundation, Ahmedabad.

  3. Soma Satry says:
    July 25, 2012 at 8:29 am

    Dear Ms. Vanaja,

    Greetings from Hyderabad!

    This has to be treated as contribution in kind. The new form is FC-7 in which this needs to be reported to MoHA.

    Thanks and regards,

    B V Soma Sastry

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