Tamil Nadu second in non-compliance of filing tax returns
Recently, the Ministry of Home Affairs (MHA) cancelled the registration of Greenpeace under the Foreign Contribution Regulation Act (FCRA), leading to a debate on funding of non-governmental organisations (NGOs).
For many NGOs in the city, the FCRA, combined with drying up of local funding, has meant that many projects have to be cancelled.
While they say that registration for the FCRA was easy a few years ago, it has now become a lot more stringent. “Often, the larger NGOs do not face a problem when it comes to funding, but smaller ones have an issue,” says V. Nagarani from HOPE Public Charitable Trust. The organisation received their FCRA certification five years ago, but not much funding has come in from foreign sources, she adds.
There are several NGOs that exist only on paper. “These have given others too a bad name and so the funding has dried up for many sectors,” she points out, adding that only around 10 per cent of their funding comes through government schemes. They rely on the goodwill of people and philanthropists for the rest..................Read more
Source: The Hindu