Section 80G

Deduction in respect of donations to certain funds, charitable institutions, etc.

Eligibility:
An assessee pays any sum as donation to eligible funds or institutions, he is entitled to claim deduction. Subject to certain limitations from the gross total income.

Quantum of deduction:

Qualifying limit:
Eligible deduction under category 3 and 4 should be aggregated and limited to 10% of adjusted gross total income. This would be the maximum permissible deduction.

Step 1: Compute adjusted total income
Step 2: Calculate 10% of adjusted total income
Step 3: Calculate the actual deduction of Category 3 and category 4
Step 4: Lower of Step 2 or 3 is the maximum permissible deduction
Step 5: Amount arrived at step 5, adjusted against category 3 and thereafter 50% of the balance amount

*Adjusted total income

Gross total Income xxx
less: Deduction under chapter VIA except 80G (xxx)
less: Short term capital gains u/s 111A (xxx)
less: Long term capital gains u/s 112 & 112A (xxx)
less: Any income on which income-tax is not payable (xxx)
less: Income referred to in sec 115A(1)(a),115AB,115AC, 115AD and 115D (xxx)
Adjusted Total Income xxx

Details of the institutions and funds to which donations can be made for the purpose of claiming deduction under sec 80G:

How to claim the deduction

To be able to claim this deduction the following details have to be submitted in your Income Tax Return

  • Name of the Donee
  • PAN of the Donee
  • Address of the Donee
  • Amount of Contribution.