Section 19 FCRA - Maintenance of Accounts
Section 19 of the Foreign Contribution Regulation Act, 2010 requires a person holding an FCRA certificate or prior permission to maintain prescribed accounts of foreign contribution received and records showing how that contribution has been utilised.
Updated: 27 September 2026
What Section 19 of the FCRA provides
Section 19 - Maintenance of accounts.
Every person who has been granted a certificate or given prior permission under the Act must maintain, in the prescribed form and manner:
(a) an account of every foreign contribution received; and
(b) a record showing the manner in which the foreign contribution has been utilised.
The section therefore creates two linked accounting duties: the recipient must be able to identify what foreign contribution came in and must also maintain a reliable record of how that foreign contribution was used. The expression "prescribed" connects Section 19 with the Foreign Contribution (Regulation) Rules, 2011, as amended from time to time.
Who must maintain the accounts?
The obligation applies to every person who has been granted a certificate of registration or prior permission under the FCRA. The accounting record should allow the receipt, custody and utilisation of foreign contribution to be distinguished from domestic funds and other receipts.
Records connected with Section 19 compliance
For practical compliance, an FCRA recipient should maintain a separate and reconcilable set of records for foreign contribution. Depending on the nature of the receipt and activities, the records ordinarily include the following:
- details of each foreign contribution received, including the source, amount, date and banking trail;
- cash book, ledger and other books needed to establish receipt and utilisation of foreign contribution;
- purpose-wise details of expenditure and utilisation;
- supporting vouchers, invoices, receipts and payment records;
- records of assets created or acquired out of foreign contribution;
- bank statements for the designated FCRA Account and relevant utilisation accounts; and
- year-end statements and records required for preparation of the annual return in Form FC-4.
Section 19 and the FCRA annual return
Section 19 should be read with the reporting requirements under the Act and the Foreign Contribution (Regulation) Rules, 2011. Under the current annual-return framework, a person receiving foreign contribution is required to submit the annual return electronically in Form FC-4 for each financial year. The return is ordinarily due within nine months from the end of the financial year, which means by 31 December.
The Ministry of Home Affairs FCRA guidance states that the annual return is filed online and is accompanied, where applicable, by the prescribed financial statements and Chartered Accountant certification. A NIL annual return is also required where no foreign contribution was received or utilised during the year, subject to the applicable filing requirements.
Relationship with Sections 17, 18 and 20
| Provision | Subject | Connection with Section 19 |
|---|---|---|
| Section 17 | FCRA banking arrangements | Creates the banking framework through which foreign contribution is received and moved to permitted utilisation accounts. |
| Section 18 | Intimation | Requires prescribed information regarding foreign contribution to be furnished to the Central Government. |
| Section 19 | Maintenance of accounts | Requires records of foreign contribution received and the manner of its utilisation. |
| Section 20 | Audit of accounts | Provides for audit by an authorised officer or authority in the circumstances specified by the Act. |
Current-law compliance points
The FCRA framework has been amended after enactment of the 2010 Act, including by the Foreign Contribution (Regulation) Amendment Act, 2020 and subsequent amendments to the Rules. For accounting purposes, organisations should ensure that their books correspond with the current FCRA banking structure, permitted utilisation, annual reporting requirements and the latest version of Form FC-4.
Foreign contribution and income arising from foreign contribution should be traceable through the organisation's FCRA records. The accounting system should also enable figures reported in Form FC-4 to be reconciled with the books, financial statements and relevant bank records.
Official FCRA resources
For the current statutory text, rules, amendments, forms and online services, refer to the Ministry of Home Affairs FCRA Online Services portal. The text of the Foreign Contribution (Regulation) Act, 2010 on India Code may also be consulted. These official sources should be checked before filing a return or acting on a compliance deadline.
Frequently asked questions
What does Section 19 require?
It requires a person holding FCRA registration or prior permission to maintain an account of foreign contribution received and a record of how that contribution has been utilised, in the prescribed form and manner.
Is Form FC-4 the account required by Section 19?
Form FC-4 is the prescribed annual-return form used to report foreign contribution information. Section 19 itself imposes the underlying duty to maintain accounts and utilisation records. The books and supporting records should therefore be maintained throughout the year and should support the figures reported in the annual return.
When is the FCRA annual return generally due?
Under the current framework, the annual return for a financial year is ordinarily filed within nine months after the close of that financial year, i.e. by 31 December. Any official extension or special direction should be verified on the FCRA portal.
Should domestic funds and foreign contribution be mixed in the accounts?
FCRA records should clearly and separately establish foreign contribution receipts and utilisation. The banking and accounting trail must remain capable of reconciliation with the designated FCRA and utilisation accounts and the annual return.
This page is a general legal-information resource. For a filing or compliance decision, verify the current Act, Rules, notifications, public notices and forms issued by the Ministry of Home Affairs.