Donations are of immense value, both for donors and beneficiaries. In India, the u/s 80G of the Income Tax Act offers a noble way to contribute and save Taxes simultaneously. The provision enables Taxpayers to ‘receive Tax exemptions by donating funds’ to organizations such as Trust/Foundations registered under the Act. With the special provision, individuals and corporations can donate and fulfill their philanthropic goals and Tax benefiting. The donor’s initiative encourages a culture of giving, empowering individuals to make a positive impact to the society with Tax exemptions from Tax liabilities.
A. The Income Tax Act provision known as Section 80G, enables Taxpayers to deduct a variety of contributions made as charitable donations to the designated non-profits/ NGOs, and charity organizations, which are eligible under the Act with Tax deduction. When filing the income Tax return, the amount donated may be deducted as per section 80G. The donation would not be eligible for Tax deductions, if not registered u/s 80G.
A. Tax savings u/s 80G for donations reduces the Tax liability of the donor by decreasing his/ her Taxable liability u/s 80G section by 50 % under the IT Act. Only registered charities/ trusts/ non-profitable organizations are eligible to issue 80G Tax exemption certifications to decrease the donors Tax payable by 50% of the donated amount.
A. Donations made u/s 80G are eligible for 50% Tax deductions under Income Tax Act. ‘Belair Foundation, The Public Charitable Trust’ is registered with IT department u/s 80G. Donors will get a certificate u/s 80G with a receipt that is to be filed with the Income Tax returns (ITR) for Tax deductions.
A. There is no specified minimum/maximum amount to avail of Tax exemption under IT section 80G for online donation or by cheque.
A. Donation in cash above ₹ 2,000 are not permitted and then not eligible for Tax Exemption.
A. Donation in cash above ₹ 2,000 are not permitted.
Yes, Certificate u/s 80 G are issued for all donations, the same are emailed or sent by courier at the address of the donor.
A. Donors must provide the correct PAN card number, email address, Mobile No., permanent address and other contact details to facilitate issuance certificate. It also helps the Income Tax department in auto-populate donation details, while filing IT Returns. As per the latest income Tax rules, all organization are required to upload the donation details on the income Tax website under form 10 BD to issue a certificate as per form 10BE.
A. For online donations, 80G certificates are generated within 20 days. The receipts are sent to the email address shared by donors while completing the online donation form. For offline contributions, it takes close to 15 to 20 days.
A. You can send a mail to
[email protected] to request a confirmation for a duplicate copy.
A. NRI - Non-Resident Indian donors with Indian passport & PAN Card are eligible for Tax exemption u/s 80G.