The charitable organisations contribute towards the welfare of the less fortunate and needy sections of
the society. In order to help them fulfil their aspirations and work towards the growth and development
of our society, the government provides tax deductions to citizens if they donate to these charitable
organisations. Section 80G of the Income Tax Act, 1961, was introduced to cater to this goal. Read on
to know more about the section and all its dimensions.
What is Section 80G of the Income Tax Act?
According to Section 80G of the Income Tax Act, 1961, you can claim a tax deduction on the
charitable donations or contributions made within the given fiscal year when you file your income tax
return (ITR). This means that you fall in a lesser tax bracket and hence, your tax liabilities will be
mitigated. One of the unique features of Section 80G is that there is no maximum limitation on the
amount of your tax-deductible donation when you file an ITR for a specific number of charities.
Claiming Section 80G Tax Deductions
If you wish to claim deductions under Section 80G of the IT Act, you must produce a proof of the
donations you make to the charitable organisations as it is of paramount importance. You must ensure
that you collect a receipt of your donations from the charity that you donated to if you want to get a
successful tax rebate. Please note that the receipt must contain the below mentioned details:
Name of the donor, amount that was donated, name, address, and PAN of the benefactor of the
donation, and registration number of the charitable organisation.
Deductions under Section 80G
According to Section 80G of the IT Act, deductions for donations can be claimed under the below
mentioned categories:
•Donations with no upper limit: 50% or 100% of the total contribution made is deductible, as per the
charitable organisations where the contribution is made, with no other limitation.
•Donations with an upper limit: 50% or 100% of the total contribution can be deducted, as per the
charitable institution where the amount is donated. You must note that the deducted amount in this type
is limited to only 10% of your gross total income.
Let’s look at the below mentioned table at few of the charitable organisations where you can contribute
or donate and details about the deduction limitations, as per the prevailing tax norms:
LIMIT
1 Armed Forces Welfare Fund 100% No
2 National Illness Assistance Fund 100% No
3 National Blood Transfusion Council 100% No
Relief Fund by the Chief Minister of any
4 100% No
State (Union Territory)
1 Armed Forces Welfare Fund 100% No
5 Zila Saksharta Samiti 100% No
6 National Children’s Fund 100% No
7 Rajiv Gandhi Foundation 50% No
Fund for Providing Medical Assistance to
8 100% No
Poor by the State Government
9 PM’s Drought Relief Fund 50% No
10 Jawaharlal Nehru Memorial Fund 50% No
11 Indira Gandhi Memorial Trust 50% No
12 Indian Olympic Association 100% Yes
Approved University or Educational
13 100% No
Institutions like IIT, NIT etc.
1 Armed Forces Welfare Fund 100% No
14 Swachh Bharat Kosh 100% No
National Trust for the well-being of
people having Mental Retardation,
15 100% No
cerebral palsy, several disabilities and
Autism
16 National Cultural Fund 100% No
17 PM’s National Relief Fund 100% No
18 Clean Ganga Fund 100% No
Development of Technology and
19 100% No
Application Fund
CM’s Earthquake Relief Fund,
20 100% No
Maharashtra
Documents Needed to Claim Tax Deduction U/S 80G
Below mentioned documents must be submitted along with your income tax return if you wish to claim
income tax deductions under Section 80G:
•Stamped Receipt: The donation needs to be authenticated with a stamped receipt from the benefactor
organisation.
•Form 58: To claim a 100% tax deduction for your donations at the end of the financial year,
remember to download, fill, and submit Form 58.
Differences Among 80G, 80GGB, 80GGC
While filing the income tax returns, you may conflate Section 80G with 80GGC or GGB. Although
these three sections are associated with tax deductions for donations or contributions made in the
previous financial year, they still differ in certain respects. Section 80G is associated with tax
deductions for donations or contributions made to the charitable organisations or trusts. Section
80GGB, on the other hand, is associated with tax deductions for donations made to the political parties
or electoral trusts by registered Indian corporations. Section 80GGC is for claiming tax deductions for
donations made to political parties by other categories of taxpayers such as individuals, HUFs, etc.
List of Donations Eligible u/s Section 80G
Below mentioned is a list of donations which are eligible for tax deductions under sections 80G:
•Prime Minister's National Relief Fund
•National Illness Assistance Fund
•Relief Fund of the Chief Minister or the Lieutenant Governor with respect to any Union Territory or
State.
•National Sports Fund
•National Trust for Welfare of Persons with Autism, Mental Retardation, Cerebral Palsy, and several
disabilities
•National Foundation for Communal Harmony
•An approved university/educational institution of National eminence
•The Indian Naval Benevolent orAir Force Central Welfare or Army Central Welfare Fund, the
Cyclone Relief Fund of the Andhra Pradesh Chief Minister in 1996
•Africa (Public Contributions - India) Fund
•Any trust, fund or institution to which Section 80G(5C) applies for providing the victims of the
earthquake in Gujarat with relief (contribution was made during 16 January, and 30 September 2001)
•The Maharashtra Chief Minister's Relief Fund during October 1, 1993 and October 6, 1993
•Chief Minister's Earthquake Relief Fund, Maharashtra
•Swachh Bharat Kosh - this has been effective from the financial year 2014-2015
•Fund for Technology Development and Application
•Any fund that the State Government of Gujarat sets up primarily for the provision of relief to the
victims affected by the earthquake in Gujarat
•National Children's Fund
Documents Needed to Claim Tax Deduction U/S 80G
Below mentioned documents must be submitted along with your income tax return if you wish to claim
income tax deductions under Section 80G:
•Stamped Receipt: The donation needs to be authenticated with a stamped receipt from the benefactor
organisation.
•Form 58: To claim a 100% tax deduction for your donations at the end of the financial year,
remember to download, fill, and submit Form 58.
Differences Among 80G, 80GGB, 80GGC
While filing the income tax returns, you may conflate Section 80G with 80GGC or GGB. Although
these three sections are associated with tax deductions for donations or contributions made in the
previous financial year, they still differ in certain respects. Section 80G is associated with tax
deductions for donations or contributions made to the charitable organizations or trusts. Section
80GGB, on the other hand, is associated with tax deductions for donations made to the political parties
or electoral trusts by registered Indian corporations. Section 80GGC is for claiming tax deductions for
donations made to political parties by other categories of taxpayers such as individuals, HUFs, etc.
List of Donations Eligible u/s Section 80G
Below mentioned is a list of donations which are eligible for tax deductions under sections 80G:
•Prime Minister's National Relief Fund
•National Illness Assistance Fund
•Relief Fund of the Chief Minister or the Lieutenant Governor with respect to any Union Territory or
State.
•National Sports Fund
•National Trust for Welfare of Persons with Autism, Mental Retardation, Cerebral Palsy, and several
disabilities
•National Foundation for Communal Harmony
•An approved university/educational institution of National eminence
•The Indian Naval Benevolent orAir Force Central Welfare or Army Central Welfare Fund, the
Cyclone Relief Fund of the Andhra Pradesh Chief Minister in 1996
•Africa (Public Contributions - India) Fund
•Any trust, fund or institution to which Section 80G(5C) applies for providing the victims of the
earthquake in Gujarat with relief (contribution was made during 16 January, and 30 September 2001)
•The Maharashtra Chief Minister's Relief Fund during October 1, 1993 and October 6, 1993
•Chief Minister's Earthquake Relief Fund, Maharashtra
•Swachh Bharat Kosh - this has been effective from the financial year 2014-2015
•Fund for Technology Development and Application
•Any fund that the State Government of Gujarat sets up primarily for the provision of relief to the
victims affected by the earthquake in Gujarat
•National Children's Fund
Terms and Conditions for Deductions Under Section 80G
There are a few terms and conditions you must meet for claiming the tax deductions u/s 80G of the
Income Tax Act. Three of them are as follows:
1.You cannot claim the tax deductions for contributions over Rs. 2000 made in cash. These changes
have been put in place by the 2017’s budget.
2.If the contributions are made in kind, they are not eligible for tax deductions under this section.
3.If the contributions are made to the trusts which are registered outside India, they are not eligible for
tax deductions under this section.
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donation when they file for an income tax return (ITR). This is one of the best tax-saving
instruments wherein you can even contribute your bit towards the betterment of the
society.
