12AB, 80G, and FCRA Registrations

Comprehensive Guide to 12AB, 80G, and FCRA Registrations

This guide provides an overview of 12AB, 80G, and FCRA registrations, which are critical for non-profits in India to claim tax benefits, attract donations, and legally receive foreign contributions.

1. What are 12AB, 80G, and FCRA Registrations?

12AB Registration

Mandates tax exemption for the income of non-profits engaged in charitable or religious activities under the Income Tax Act, 1961.

80G Registration

Allows donors to claim tax deductions on their donations to eligible non-profits, encouraging philanthropy.

FCRA Registration

Regulates foreign contributions to ensure funds are utilized for legitimate purposes aligned with national interest under the Foreign Contribution Regulation Act, 2010.

12AB Registration:

Mandates tax exemption for the income of non-profits engaged in charitable or religious activities under the Income Tax Act, 1961.

80G Registration:

Allows donors to claim tax deductions on their donations to eligible non-profits, encouraging philanthropy.

FCRA Registration:

Regulates foreign contributions to ensure funds are utilized for legitimate purposes aligned with national interest under the Foreign Contribution Regulation Act, 2010.

2. Who Should Apply for These Registrations?

Registration	Who Can Apply
12AB	Charitable or religious trusts, societies, and Section 8 companies
80G	Non-profits with 12AB registration
FCRA	Trusts, societies, and Section 8 companies receiving foreign donations for charitable activities

3. Key Benefits

Registration	Benefits for Non-Profit	Benefits for Donors
12AB	Exemption from income tax on charitable income	Not applicable
80G	Enhanced reputation and donor confidence	Tax deduction up to 50% of the donated amount
FCRA	Legally accept foreign contributions	Not applicable

4. Documents Required

Document Type	12AB	80G	FCRA
Incorporation Certificate	Yes	Yes	Yes
PAN of Organization	Yes	Yes	Yes
Activity Report	Yes	Yes	Yes
Financial Statements	Last 3 years (if applicable)	Last 3 years (if applicable)	Last 3 years (mandatory for permanent FCRA)
Trustee/Director KYC	Yes	Yes	Yes
Information	No	Yes	Yes (for prior permission)
Foreign Bank Account Details	No	No	Yes

5. Step-by-Step Process

12AB and 80G Registrations (Income Tax Act, 1961)

Eligibility Check: Confirm the organization engages in charitable activities.
Application Submission: File Form 10A (for 12AB) and Form 10G (for 80G) on the Income Tax e-filing portal.
Verification:
- Authorities review documents and may seek additional clarifications.
- On approval, provisional registration is granted (valid for 3 years).
Permanent Registration:
- File Form 10AB within 6 months before provisional expiry or within 6 months of starting operations.

FCRA Registration (Foreign Contribution Regulation Act, 2010)

Eligibility Check: Confirm the organization complies with FCRA rules and objectives.
Application Submission: File Form FC-3A (permanent registration) or FC-3B (prior permission) on the MHA portal.
Verification:
- Background checks by intelligence and government authorities.
- Approval issued for either prior permission (one-time) or permanent registration (5 years).
Bank Account Setup: Open a designated FCRA account in an RBI-approved bank.

6. Timelines

Registration	Provisional Registration Validity	Permanent Registration Validity
12AB	3 years	5 years
80G	3 years	5 years
FCRA	Not applicable	5 years

7. After Obtaining Registration

Action Required	12AB	80G	FCRA
Maintain Records of Activities	Yes	Yes	Yes
Annual Return Filing	Yes (ITR)	Yes (ITR)	Yes (Form FC-4)
Renewal Process	Every 5 years	Every 5 years	Every 5 years
Comply with Utilization Norms	Yes	Yes	Yes