The Foreign Contribution (Regulation) Act, 2010 SPOM SET A MCQ for CA Final Exam
Most Important Questions
| Sr No. | Questions | Answers |
| 1 | Is the cheque given by Y Foreign Hospitality? In relation to Ring given to friend Wife | No as FH is in cash or kind taken outside India |
| 2 | Can religious trust receive donation from foreign source without FCRA account? | No, trust receive funds from foreign sources into their FCRA account only |
| 3 | A person received 25 lakh FC in FCRA acc in delhi sbi & then transferred 10 lakh to his non fcra acc for utilization. He also received 5 lakh FC in his non fcra acc with canara bank. Which of these 3 transactions are violates FCRA Act? | Can receive FC only in FCRA Acc – so 25 lakh valid, but 5 lakh violates Act and one can transfer money to Non FCRA Acc for utilization. So 10 lakh valid |
| 4 | Bank shall report receipt of FC to whom to within how many hours? | CG (Not RBI) within 48hr |
| 5 | In case of emergency medical aid of more than 1Lakh then intimate to CG within | 1 month |
| 6 | Sec 15, Upon Surrender/Cancellation Whether banking authority can utilize/dispose the assets of FC. | Yes |
| 7 | Ring given by X to Y is foreign contribution? | Yes. as per its market value it is more than 1,00,000 and he did the valuation the same day. |
| 8 | Renewal of Certificate of Registration within | 6month before expiry |
| 9 | Fee of compounding or revision of order (only online mode) | Rs. 3000 |
| 10 | Mr. X received FC in personal Capacity and used it for Gold Deposit scheme. Can he use? | No |
| 11 | Sec 4, Is scholarship provided by foreign university to PRI comes under FC | Yes |
| 12 | Sec 14A, cooling period for fresh reg. once existing registration is surrendered | 3 year |
| 13 | Period of Suspension of COR | 180 Days (+180 days extended) |
| 14 | Person aggrieved from confiscation of FC may appeal to | High court within 60 days |
| 15 | Bank report to CG of transaction relating to_ | Receipt & utilisation of FC |
| 16 | What should a bank authority do on the direction of the Central Government in case of Best Trust and Great Trust? | In case of Best Trust, dispose of the assets created out of FC; for Great Trust, utilize the FC. |
| 17 | Qs 2. Money Paid by X to Y is a foreign contribution. | No, as it is payment in normal course for goods and services |
| 18 | Sec 14A, If FCRA registration is surrendered, it is deemed to have expired/effective date of surrender on | Date of acceptance by CG. |
| 19 | FCRA Account open in which bank for receiving FC | SBI, New Delhi |
| 20 | Scholarship received from foreign university | Exempt |
| 21 | Certificate of registration valid for | 5 years |
| 22 | Cooling period in case of surrender/cancellation of COR | 3 years |
| 23 | FC from relatives more than 10Lakh in FY then inform to CG in which form? | FC-1 & within 3 months |
| 24 | Charitable trust applied for registration. Certificate of registration issued on 15.9.23. It is sent via post. Trust received it on 17.9.23. This Reg Certificate is valid upto ? | 14.09.2028 (5 year from the date of issue) |
| 25 | Whether Educational Contributions from foreign university to be Considered as Foriegn Contribution | Yes |
