India's nonprofit sector facing a crisis? Here’s the inside scoop

The FCRA has undergone several amendments, with all governments scrutinising foreign contributions. The UPA government also cancelled FCRA licences following the anti-nuclear Kudankulam protests. However, the most drastic use of the law began in 2020. All charitable trusts and institutions had to revalidate their registration with the tax department, facing new compliance requirements, including GST obligations, a cap on administrative expenses from foreign funds, and mandatory bank accounts at a specific SBI branch.