Section 7 — Prohibition to transfer foreign contribution to other person

Reviewed by CA Nikhil Gupta · Last reviewed 18 September 2026

Chapter IIRegulation of foreign contribution and foreign hospitality

What this section provides

Current law prohibits transfer of foreign contribution by a recipient to another person. The 2020 amendment removed the earlier transfer-permission architecture; historical Rule 24 / Form FC-5 should not be used as a current transfer route. Grant implementation must therefore be structured through lawful utilisation by the registered/prior-permission holder rather than pass-through transfer.

Related on Finin2min

Foreign Contribution (Regulation) Act, 2010 — hub homeForeign Contribution (Regulation) Rules, 2011 — instrument guideFCRA statutory forms and portal workflow registerNGO compliance hubIndian Trusts Act, 1882 hubSocieties Registration Act, 1860 hub

Primary official sources

← Section 6 — Restriction on acceptance of foreign hospitality Section 8 — Restriction to utilise foreign contribution for administra →

Finin2min summary — explanatory text. The official Act, Rules, Regulations and notifications control if there is any difference. Educational and research resource, not legal, regulatory, tax or investment advice; verify the instrument in force on the relevant date.