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Tips for Making Donations to NGOs & Charities Under Section 80G

When you make donation under 80g, it is important to do some research on the NGO, charity or trust. Make sure they are authorized to accept donations under Section 35AC. Depending on the type of charity it is, you may be eligible to claim full tax deduction in the donation or 50% of the donated amount.

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Tips for Making Donations to NGOs & Charities Under Section 80G

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  1. HelpAge India Tips for Making Donations to NGOs & Charities Under Section 80G When you donate to different type of non-government organizations, you can get tax deductions under different provisions. When you make donation under 80g, you can claim tax deduction in. Make sure to get the receipt of payment, which needs to be furnished while making the claim. The following guide will provide you useful information related to donations and the deductions they can help you get. Receipt against Donations When you make any donation under sec 35 ac or 80g to any NGO or any cause, make sure to get a stamped official receipt from the organization. The recipe must have the following details to be eligible for making a tax deduction claim: It should have the organization’s name and address The amount you donated should be in figures and words Make sure that the name of the donor is clear and correct The organization’s registration number should be on the recipe and its validity too Deductions Under Section 80G When you make a donation under 80g, you may be eligible to get full deduction or 50% of the donated amount. This section of the Income Tax Act is focused mostly on donations which are made for charity or funds. Even NRIs are eligible to get deductions under this section, as long as they make the donations to organizations or trusts which are covered under this Act. Make sure to do some research on the NGO, old age homes, disability support homes or other organizations before you donate anything to them. https://www.helpageindia.org Toll Free No Elder Help Line 1800-180-1253 HelpAge India C-14, Qutab Institutional Area New Delhi - 110016

  2. HelpAge India Deductions Under Section 35 AC NGOs can available tax exemption under a number of sections including the donation under sec 35 ac. Whatever is donated to the NGO can be claimed for tax deduction by donors under section 80G if the activities and projects of the organization are eligible. It is however required that the projects and schemes of the NGO be approved by the Central Government under section 35AC. Businesses can then donate to such non-government organizations to claim tax deductions for their contribution. However, when choosing to make donation under sec 35 ac to any NGO, you should check and ensure that their schemes and projects are listed under the projects and schemes approved by the Central Government’s National Committee. Typically, an NGO can apply to this committee for getting their scheme or project approved. Certificate of Donation When you make a donation to an NGO, make sure that they provide you a certificate of the contribution along with the receipts. They should provide the certificate in Form 58A for donation under sec 35 ac. You will require this certificate for claiming tax exemption. NGOs are also required to provide Annual Report of their project or scheme’s progress to the National Committee along with the names and details of the contributors. So when you make donations to any NGO, charity or trust, make sure that you get the essential receipts and certificate to claim tax deductions. You should also do the necessary research to ensure that you are making donation to a recognized and approved organization that falls under the ambit of section 80G of the IT Act. https://www.helpageindia.org Toll Free No Elder Help Line 1800-180-1253 HelpAge India C-14, Qutab Institutional Area New Delhi - 110016

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