PMNRF

1. Context

2. What is PMNRF?

• Historically, this fund was instituted by former Prime Minister Jawaharlal Nehru (1948). It then aimed to assist displaced persons from Pakistan. It was established by public contributions.
• In current times, it is used to tackle natural calamities such as floods, cyclones, earthquakes, etc. PMNRF is also used to help with medical treatment like kidney transplantation, cancer treatment, acid attack, and to victims of major accidents and riots.
• The Fund consists entirely of public contributions and does not get any budgetary support.
• The corpus of the fund is invested in various forms with scheduled commercial banks and other agencies. Disbursements are made with the approval of the Prime Minister.
• PMNRF has not been constituted by the parliament.
• The fund is recognized as a Trust under the Income Tax Act and the same is managed by the Prime Minister or Multiple delegates for national causes.
• PMNRF operates from the Prime MinisSouth Office, SouthBlock, New Delhi-110011 and does not pay any license fee.
• PMNRF is exempt under Income Tax Act, 1961 under sections 10 and 139 for return purposes. Contributions towards PMNRF are notified for 100% deduction from taxable income under section 80(G) of the Income Tax Act, 1961.
• PMNRF accepts only voluntary contributions by individuals and institutions. Contributions flowing out of budgetary sources or from the balance sheets of the Public sector Undertakings are not accepted.
• The PMNRF is audited by an independent auditor outside the government.

3. About PM CARES Fund

3.1 Objectives:

• To undertake and support relief or assistance of any kind relating to a public health emergency or any other kind of emergency, calamity, or distress, either manmade or natural, including the creation or upgradation of healthcare or pharmaceutical facilities, other necessary infrastructure, funding relevant research or any other type of support.
• To render financial assistance, provide grants of payments of money, or take such other steps as may be deemed necessary by the Board of Trustees to the affected population.
• To undertake any other activity, which is not inconsistent with the above objects.

3.2 Composition

• Prime Minister is the ex-officio Chairman of the PM CARES Fund and the Minister of Defence, Minister of Home Affairs, and Minister of Finance, of the Government of India, are ex-officio Trustees of the Fund.
• The chairperson of the Board of Trustees (Prime Minister) shall have the power to nominate three trustees to the Board of Trustees who shall be eminent persons in the field of research, health, science, social work, law, public administration, and philanthropy.
• Any person appointed a Trustee shall act in a pro bone capacity.

3.3 Other Details

• The fund consists entirely of voluntary contributions from individuals/organizations and does not get any budgetary support. The fund will be utilized in meeting the objectives as stated above.
• Donations to PM CARES Fund would qualify for 80G benefits for 100% exemption under the Income Tax Act, of 1961. Donations to PM CARES Fund will also qualify to be counted as Corporate Social Responsibility (CSR) expenditure under the Companies Act, 2013.
• PM CARES Fund has also got an exemption under the FCRA and a separate account for receiving foreign donations has been opened. This enables the PM CARES Fund to accept donations and contributions from individuals and organizations based in foreign countries. This is consistent with Prime Minister's National Relief Fund (PMNRF). PMNRF has also received foreign contributions as a public trust since 2011.
• PM CARES Fund is audited by an independent auditor.
• PM CARES Fund can receive contributions from Public Sector Undertakings. However, contributions flowing out of the budgetary source of the PSUs are not accepted.
   

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