Phoenix Auditing

Deductions on section 80G, 80GGB, 80GGC

 1 Section 80G – Donations

Deduction for donations towards Social Causes

The various donations specified in 80G are eligible for deduction up to either 100% or 50% with or without restriction. From FY 2017-18 any donations made in cash exceeding Rs 2,000 will not be allowed as deduction.

 A. Donations with 50% deduction without any qualifying limit

  • Indira Gandhi Memorial Trust
  • The Rajiv Gandhi Foundation
  • Prime Minister’s Drought Relief Fund
  • Jawaharlal Nehru Memorial Fund

B. Donations with 100% deduction without any qualifying limit

  • Prime Minister’s National Relief Fund and Prime Minister’s Armenia Earthquake Relief Fund
  • National Foundation for Communal Harmony
  • National Defense Fund set up by the Central Government
  • Zila Saksharta Samiti constituted in any district under the chairmanship of the Collector of that district
  • An approved university/educational institution of National eminence
  • National Blood Transfusion Council or to any State Blood Transfusion Council
  • Fund set up by a State Government for the medical relief to the poor
  • National Trust for Welfare of Persons with Autism, Cerebral Palsy, Mental Retardation and Multiple Disabilities
  • Fund for Technology Development and Application
  • National Illness Assistance Fund
  • Chief Minister’s Relief Fund or Lieutenant Governor’s Relief Fund with respect to any State or Union Territory
  • he Maharashtra Chief Minister’s Relief Fund during October 1, 1993 and October 6,1993
  • The Army Central Welfare Fund or the Indian Naval Benevolent Fund or the Air Force Central Welfare Fund, Andhra Pradesh Chief Minister’s Cyclone Relief Fund, 1996
  • National Sports Fund
  • National Cultural Fund
  • Any fund set up by the State Government of Gujarat exclusively for providing relief to the victims of earthquake in Gujarat
  • Bharat Kosh 
  • National Fund for Control of Drug Abuse

C. Donations to the following are eligible for 50% deduction subject to 10% of adjusted gross total income

  • Government or any local authority to be utilized for any charitable purpose other than the purpose of promoting family planning.
  • Any corporation referred in Section 10(26BB) for promoting the interest of minority community.
  • For repairs or renovation of any notified temple, mosque, gurudwara, church or other places.
  • Any other fund or any institution which satisfies conditions mentioned in Section 80G(5).
  • Any authority constituted in India for the purpose of dealing with and satisfying the need for housing accommodation or for the purpose of planning, development or improvement of cities, towns, villages

D. Donations to the following are eligible for 100% deduction subject to 10% of adjusted gross total income

  • Donation by a Company to the Indian Olympic Association or to any other notified association or institution established in India for the development of infrastructure for sports and games in India or the sponsorship of sports and games in India
  • Government or any approved local authority, institution or association to be utilized for the purpose of promoting family planning

2. Section 80GGB – Company Contribution

Deduction on contributions given by companies to politician

80GGB deduction is allowed to an Indian company for the amount contributed by it to any political party or an electoral trust. Deduction is allowed for contribution done by any way other than cash. 

3. Section 80GGC – Contribution to politician

Deduction on contributions given by any person to politician

Deduction under Section 80GGC  is allowed to an individual taxpayer for any amount contributed to a political party or an electoral trust. It is not available for companies, local authorities and an artificial juridical person wholly or partly funded by the government. You can avail this deduction only if you pay by any way other than cash.  

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