Section 8 Restriction to utilise foreign contribution for administrative purpose
- Amendments
- 1
(1) Every personDefined in section 2(m): person includes— (i) an individual; (ii) a Hindu undivided family; (iii) an association; (iv) a company registered under section 25 of the Companies Act, 1956 (1 of 1956), who is registered and granted a certificateDefined in section 2(e): certificate means certificate of registration granted under sub section (3) of section 12 or given prior permission under this Act and receives any foreign contributionDefined in section 2(h): foreign contribution means the donation, delivery or transfer made by any foreign source,— (i) of any article, not being an article given to a person as a gift for his personal use, if the market value, in India, of such article, on the date of such gift, is not more than such sum as may be specified from time to ...,—
(a) shall utilise such contribution for the purposes for which the contribution has been received:
Provided that any foreign contributionDefined in section 2(h): foreign contribution means the donation, delivery or transfer made by any foreign source,— (i) of any article, not being an article given to a person as a gift for his personal use, if the market value, in India, of such article, on the date of such gift, is not more than such sum as may be specified from time to ... or any income arising out of it shall not be used for speculative business:
Provided further that the Central Government shall, by rules, specify the activities or business which shall be construed as speculative business for the purpose of this section;
(b) shall not defray as far as possible such sum, not exceeding Substituted by Foreign Contribution (Regulation) Amendment Act, 2020, s. 4, dated 28th September, 2020, with effect from 29 September 2020. Earlier read: "fifty per cent."twenty per cent. of such contribution, received in a financial year, to meet administrative expenses:
Provided that administrative expenses exceeding Substituted by Foreign Contribution (Regulation) Amendment Act, 2020, s. 4, dated 28th September, 2020, with effect from 29 September 2020. Earlier read: "fifty per cent."twenty per cent. of such contribution may be defrayed with prior approval of the Central Government.
(2) The Central Government may prescribe the elements which shall be included in the administrative expenses and the manner in which the administrative expenses referred to in sub-section (1) shall be calculated.