Why Centre Might Not Accept UAE’s Rs 700-Crore Offer For Kerala

New Delhi :

As Kerala is looking forward to getting back to normal life, assistance — both financial and technical –is crucial. Kerala Chief Minister Pinarayi Vijayan today announced that the United Arab Emirates (UAE) has offered Rs 700 crore to help rebuild the flood-ravaged state. However, the centre might not accept the offer.

"As of now the centre is not accepting financial help from any foreign country, so the same applies to the offer made by UAE," a senior ministry level officer told NDTV. However, the final decision will be taken by the Ministry of External Affairs (MEA), he added.

The MEA also said that it hasn’t got any offer or proposal yet.

The Ministry of Home Affairs has also clarified that Indians staying abroad can send their donations to Kerala Chief Minister’s Relief Fund as that will be tax free.

"If foreign aid is coming to non-profits or NGOs which are registered under the Foreign Contribution (regulation) Act (FCRA) then they will not be taxed. But if donations are received by NGOs which are not registered, then it is counted as the income of the NGO and that will be taxed," a senior officer told NDTV.