Socio Research & Reform Foundation

Dear Friends,
Greetings from CWS!

We are facing a typical problem with the PF department on which I would like to seek your advice. CWS functions with its partners i.e. it sub grants funds to other organizations. Under the current circumstances the PF field officer came for an inspection. He is of the opinion that CWS is responsible for the PF of the partner organizations. Kindly help me out on this and also if any case laws are there on such issues.

Thanks and regards,
___________________________
B V Soma Sastry
Director – Finance and Admin
Centre for World Solidarity
12-13-438, Street No. 1,
Tarnaka Secunderabad 500 017
Andhra Pradesh

Following query received from Mr. Sunil Kumar Suryavanshi of SAMARTHAN CENTRE FOR DEVELOPMENT SUPPORT.

Dear Sir

IT department provide ITR-7 online filling facility from this year. Some point are confuse to us as below:

PART A-GEN

d) Details of the project/institution run by you- ?

there is confusion : which project/institution, own fund project or all project which are funded by another donor.

SCHEDULE FA

Details of foreign assets

a)     Bank : which bank, FCRA fund bank or bank places in outsight of India ?
b)    Interest: ?
c)     Investment in immovable property: which assets, which are purchased from FCRA fund or assets located outsight of India ?

Kindly give your valuable suggestions to help us for filling ITR-7

With Regards

—————————————
Sunil Kumar Suryavanshi
Accounts Department
SAMARTHAN CENTRE FOR DEVELOPMENT SUPPORT
36, Green Avenue, Chuna Bhatti, Kolar Road,
Bhopal M.P. 462 016
www.samarthan.org

Dear Dialogue Members,
Greetings from SRRF!!!

A query has been rec’d from an NGO running an orphanage in southern India. It is a society registered under Tamilnadu Societies Registration Act of 1975. An inspection was undertaken at the orphanage by ESI officials, who have claimed that orphanage is employing 12 full time staff and 7 part-time staff and have demanded that organisation pays its Contribution as per Regulation 31 of ESI General (Regulation) of 1950. The orphanage has very meagre resources and pays its staff like Aya, cook, etc. amounts ranging between Rs 2500 to Rs 7000.

I request learned members of the SRRF Dialogue Group to advise

1. Is ESI applicable on non-profit organisations ? If no, please provide the basis of your opinion.
2. If yes, how can it minimise liability, does it have to pay full ESI contribution even on part-time staff?

Your expeditious advise would help the NGO take a proper recourse.

With warm regards

Ramanuj Maurya
Coordinator
__________________________________
Socio Research & Reform Foundation (NGO)
512 A, Deepshikha, 8 Rajendra Place, New Delhi – 110008
e-mail: socio-research@sma.net.in; website: http://www.srr-foundation.org

Dear Dialogue Members,
Greetings from SRRF!!!

Following query received from Mr. Subodh of BRLP.

Dear Sir,

I am from a Govt Society . People from foreign country like Indonesia / Bangladesh want exposure visit of our society. We have to facilitate them for accommodation / vehicles / community resource fees etc. They want to send all reimbursement cost as per budget in project account.

What is our statutory obligation for accepting reimbursement cost from foreign countries. Please update us with reference of concerned act and its provisions.

With regards

Subodh

Dear Dialogue Members,
Greetings from SRRF!!!

Following query received from Mr. Vidya Sagar Devabhaktuni of SKG Sangha.

Dear Sir,

This is an NGO registered under the societies registration act. We have the following doubts:

1. When we receive foreign funding for any project we may not spend the money immediately after receipt in many cases. We get some bank interest if we keep these funds in Bank Fixed Deposit until we need the money. The bank deducts TDS if the interest is more than Rs.10,000/.
2. Is there a way to see that the bank does not deduct TDS as our society is registered under section 12 A of Income tax Act like giving form 15G etc?
3. If the bank deducts TDS on bank interest how to treat this in our accounts?
4. Can we claim back this amount from Income tax department as our organisation is registered under section 12A?

Looking forward for some practical solutions.

Best Regards,

Vidya Sagar Devabhaktuni
President, SKG Sangha
#532, 2nd Main Road, Gandhi Nagar,
KOLAR – 563 101
Karnataka State, INDIA

Dear Dialogue Members,
Greetings from SRRF!!!

We have received following query from Mr. Sudhendu Das of SSDC:

Dear Sir,
Greetings from SSDC!

if  we generate corpus fund in our national account for use any accident or serious cases in future, it will be taxable or not.

waiting for your valuable replay.

Regards

—
Sudhendu Das
Finance Manager
Sundarban Social Development Centre
Vill. – Polerhat, P.O.- Bijoygunj Bazar,
Dist. – South 24 PGS
Pin – 743343
West Bengal, India

Dear SRRF Dialogue Members,

As you all know that SRRF organised a RoundTable yesterday on CSR and released a Report on 100 top Corporates CSR programmes. The event was well attended.

Through this post we bring all of you up to date with the Big News that Rajya Sabha has passed the Companies Bill this afternoon, since Lok Sabha had already passed the same, CSR is now officially mandatory.

We will soon also be sharing important findings of study undertaken by SRRF in this topic.
__________________________________
Socio Research & Reform Foundation
(A Non Government Organisation)
512 A, Deepshikha, 8 Rajendra Place, New Delhi – 110008
e-mail: socio-research@sma.net.in; website: http://www.srr-foundation.org

Following query received form Pragya:

Our Organisation is FCRA registered organisation . We give sub grants to other FCRA registered Organisations. Is there any limit of transferring of funds (as grants) to registered organisation. In Sec 7 (Rule 24), it is mentioned we can transfer sub grant to private trust or non-FCRA registered organisation after approval from Department not exceeding 10% of total FC receipts during the year. Do, this means that there is no limit for Grants released to FCRA registered Organisation.

Looking forward for your response.

Regards

Pragya

Dear Friends,
 
Greetings!
 
I was visiting one of our partners in Odisha. The NGO told me that they are unable to get the Government projects since the Government is seeking a minimum fixed assets of Rs. 500000/- with the NGO.
 
The case goes like this:
1. The NGO has purchased 18.17 acres of land in 1986 for a sum of Rs. 33273/-
2. The market value of the land as on date is in excess of Rs. 50,00,000/-
 
Is it possible for them to revalue and reflect the value of land in the books or do they have to follow the principle of “cost or market price whichever is lower”
 
Thanks and regards,

—
B V Soma Sastry