Exemptions for Donations
Donations for charitable purposes attract
tax benefits. If you give to a charitable organisation, not only
is your donation exempt from Income Tax in the hands of the organisation,
but you can earn a tax deduction too. For this, the organisation
must be certified under 80-G or have projects approved under various
sections of the regulations which offer tax benefits to donors.
Your donations to organisations that
have the following tax exemption certifications are eligible for
tax benefits :
80 G: 50% of your donation can be set
off against from your taxable income.
35AC : 100% deduction can be claimed
for donation for certain projects approved under this section.
35(1)(iii) : NGOs engaged in research
in social sciences can be approved for tax exemption under this
section. People who have business or professional income can claim
125% deduction of their donation and others can claim 100%. This
deduction will be withdrawn after 31 March 2005.
35CCB : NGOs engaged in conservation
of natural resources and aforestation are given approval under this.
100% deduction may be claimed by donors.
NO TAX BENEFIT ARE AVAILABLE FOR DONATIONS