Page 103 - Quick Insights Book 2022

Chap. 29 – Non-Profit Organisation

2. Under Income tax act 5. NPOs receiving foreign contributions in India come
under the purview of Foreign Contribution Regulation
• Registration and renewal under section Act, 2010 i.e. FCRA. NPOs receive foreign contribution
80G,12A,10(23) and 35(AC) of The Income Tax are required to obtain registration under Section 6(1) of
Act, 1961 for claiming various exemptions and FCRA. Chartered accountant can provide services like
benefits.
registration, maintenance of accounts and records, filing
• Preparation and filing income tax returns of forms and annual return, renewal and intimations
under FCRA
• Advise on determination, application and
accumulation of income, corpus/ voluntary 6. Corporate Social Responsibility (CSR) is practical way to
contribution, investment of funds, capital gain give back to society and NPOs are the best way to do
matters. this. Chartered Accountants can work as bridge between
NPOs and CSR companies. Chartered Accountant can
• Prepare and submit the statement of donations do better project and fund planning, maintenance of
(Form 10BD) records and reporting. Chartered Accountants can also
• Audit under various sections of Income tax act. prepare and file CSR-1 form.

3. Establish or review internal control, policies and ICAI Support
procedures, develop internal checks and conduct internal
audit. Professional Development Committee of ICAI is offering a
Certificate Course on NPO, for details, please visit at:
4. Verification on behalf of donors or funding agencies to
check whether grant terms and conditions are followed https://www.icai.org/post/certificate-course-on-cooperatives-npo
and investigative audit if suspects any fraud.

90 Quick Insights on Professional Opportunities for Chartered Accountants