Donation Comes Under Which Section

Are not valid for section 80g deduction claims.

Donation comes under which section. Donations must be made to a registered political party under section 29a of representation of people act rpa 1951. Section 80g offers a tax deduction for donations to certain prescribed funds and charitable institutions. All taxpayers individuals companies hindu undivided families are eligible to make donations to charity under section 80g and claim a deduction subject to limits set down by the government.

Making various investment payment for claiming deduction under section 80c lic ppf nsc etc 80d mediclaim 80g donations. Hence the investment payment can be made up to june 30 for. Here are the details of the section.

Taxpayers can claim deduction under section 80g if their donation is made through cheque draft or cash. Donations made to electoral trust also will be eligible for claiming tax deduction under section 80ggc. For example during natural disasters such as floods earthquake and many organisations start campaigns for collecting clothes blankets food etc.

Only donations made to prescribed funds qualify as a deduction. Any donation to political parties made by an individual can be claimed as a deduction under the section 80ggc of the i t act. Contributions made to certain relief funds and charitable institutions can be claimed as a deduction under section 80g of the income tax act.

New change in budget 2012 any payment exceeding rs 10 000 shall only be allowed as deduction under section 80g and 80gga if such amount is paid by any other mode than cash. All donations however are not eligible for deductions under section 80g. Donations in kind do not entitle for any tax benefits.

Deduction limit under section 80ggc there is no limit specified under section 80ggc. Donations material like food material clothes medicines etc. Only donations in cash cheque are eligible for the tax deduction under section 80g.