Section 16 explained: this guide covers what it means, who it applies to, the step-by-step process, documents required, fees, due dates and penalties in India — so you can stay compliant with confidence and avoid costly mistakes.
A certificate under section 12 lasts five years. Section 16 tells the holder when to renew it, how the Central Government decides, and when it may refuse. The Amendment Act, 2020 added a proviso that lets the Government inquire, before renewing, whether the conditions for grant are still met.
This article reads section 16 as per the Act as enacted, read with the Foreign Contribution (Regulation) Amendment Act, 2020 (33 of 2020), paragraph 11. Later amendments should be checked.
Every certificate holder shall have the certificate renewed within six months before its expiry. The application is made in the prescribed form and manner with the prescribed fee. The Government shall renew ordinarily within ninety days for five years, subject to terms and conditions; if it does not, it must communicate reasons. It may refuse where the person has violated the Act or rules, and, since 2020, may inquire into the sub-section (4) conditions of section 12 before renewing.
Section 16(1): when to renew
"Every person who has been granted a certificate under section 12 shall have such certificate renewed within six months before the expiry of the period of the certificate." The duty is placed on the holder. The period in which renewal is to be obtained is the six months before expiry. The wording is compressed ("shall have such certificate renewed within six months before the expiry"), so the safe reading is that the application should be made in good time inside that window; the rule on renewal, rule 12, deals with the application and is explained in the article on rule 12. This article does not state what the rule says.
Because a certificate is valid for five years under section 12(6) (see the article on section 12), a calendar of expiry dates is the first compliance tool. An organisation that plans its renewal early also leaves room to correct anything the application form reveals. For registrations and the wider set of filings an NGO usually carries, see our 12A, 80G and CSR registration service.
The 2020 proviso to section 16(1)
Paragraph 11 of the Amendment Act, 2020 added:
"Provided that the Central Government may, before renewing the certificate, make such inquiry, as it deems fit, to satisfy itself that such person has fulfilled all conditions specified in sub-section (4) of section 12."
The proviso is permissive: the Government "may" inquire. The test is "all conditions specified in sub-section (4) of section 12", which are explained in the article on those conditions. So a renewal is not a formality: the eligibility conditions that applied on grant can be examined again.
| As enacted | After the 2020 Amendment Act |
|---|---|
| Section 16(1) has no proviso | A proviso lets the Central Government make such inquiry as it deems fit, before renewing, to satisfy itself that the person has fulfilled all conditions in section 12(4) |
Section 16(2): the application
"The application for renewal of the certificate shall be made to the Central Government in such form and manner and accompanied by such fee as may be prescribed." Form, manner and fee are in the Rules. Section 12A, inserted in 2020, also applies to renewal: the Central Government may require identification documents of office-bearers, Directors or key functionaries on an application for renewal under section 16; see the article on section 12A.
Section 16(3): renewal and refusal
"The Central Government shall renew the certificate, ordinarily within ninety days from the date of receipt of application for renewal of certificate subject to such terms and conditions as it may deem fit and grant a certificate of renewal for a period of five years." Two provisos follow.
- First proviso: if the Government does not renew within the ninety days, "it shall communicate the reasons therefor to the applicant".
- Second proviso: the Government "may refuse to renew the certificate in case where a person has violated any of the provisions of this Act or rules made thereunder".
The first sentence uses "shall renew" and the second proviso uses "may refuse". Read together, renewal is the general course, ordinarily within ninety days, and refusal is tied to violation of the Act or the rules. The text does not provide for a hearing before refusal of renewal, and it does not say that a certificate stays valid while an application is pending; it is silent on both points. Take advice on the facts of your case and check the official text.
Example (invented). Gram Vikas Mandal holds a certificate that expires within the coming year. Its board checks the expiry date, applies inside the six-month window before expiry, and keeps proof that the application was made. If the Government has not renewed within ninety days, it must communicate the reasons. If it has reason to think the Mandal violated the Act or the rules, it may refuse under the second proviso.
What follows a refusal
A refusal to renew is an order of the Central Government under the Act. Section 31(2) lists the orders against which an appeal lies to the High Court; it names an order refusing to give permission under the Act, and orders under section 12(2), section 12(4) and section 14(1). Whether a refusal to renew falls within those words depends on the order; the text of section 31(2) is explained in the article on section 31. Take advice quickly, because the appeal period in section 31(2) is sixty days from the date of the order.
For the opposite end of a registration, see the articles on cancellation and on surrender.
Need help with renewal planning?
Renewal is a good moment to check records, governing-body details and conditions against section 12(4). Our 12A, 80G and CSR registration team can help you prepare the underlying registrations and records before the window opens.
Key takeaways
- A certificate is to be renewed within six months before the expiry of its period.
- Renewal is for five years, ordinarily within ninety days of the application.
- If the Government does not renew within ninety days it must communicate the reasons.
- It may refuse renewal where a person has violated the Act or the rules.
- Since 2020 the Government may inquire whether all conditions in section 12(4) are still met before renewing.
Read next
- Section 12: application, grant, refusal and validity
- Section 12: conditions for registration and prior permission
- Section 17: the FCRA Account
- Rule 12: renewal of certificate of registration
Disclaimer: Based on the Foreign Contribution (Regulation) Act, 2010 as enacted, read with the Amendment Act, 2020 and the other amendments named in this article, and on the Foreign Contribution (Regulation) Rules, 2011 as amended by the notifications named (latest consulted: S.O. 3272(E) dated 22 June 2026), as consulted on 2 October 2026. No consolidated official text was available; some provisions rest on a third-party copy and are identified as such. Later amendments, notifications and Ministry of Home Affairs orders should be checked. This article is general information, not legal advice; check the official text before acting.