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Donation received by individual

SHAHNH (Professional) (162 Points)

06 December 2016

What will be the tax implication in case of an individual receiving donations by cheque from a registered Jain Temple Trust by a female assesse for her child's medical treatment.

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7 Replies

Dhirajlal Rambhia (SEO Sai Gr. Hosp.) (160327 Points)
Replied 07 December 2016

Usually all such donations given by such cheritable trusts are tax exempt.

1 Like

Mukesh Kumar (Accounts Manager) (1466 Points)
Replied 07 December 2016

Please tell us under which section it is exempt income

SHAHNH (Professional) (162 Points)
Replied 07 December 2016

Thanks a lot Sir...

One more query as to ... is there any yearly upper limit for such donations received.

Dhirajlal Rambhia (SEO Sai Gr. Hosp.) (160327 Points)
Replied 07 December 2016

The cap is upto the limit of utilization for the cause for which it is received.

Its not income, but amount given for medical treatment!!

2 Like

Vishal Goel (Chartered Accountant) (1688 Points)
Replied 07 December 2016

Originally posted by : Tanush
	Please tell us under which section it is exempt income

As per Section 56(2)(V)

Gift are exempt from tax under the following situations:

monetary value of all gifts received don't add up to Rs.50,000.
Received from a relative (see below)
Received on occasion of marriage
Received by way of a will or inheritance
Received in contemplation of death of the payer
Received from Local Authority
Received from a fund, foundation, university, or other educational institution, hospitals, or any trust of institution defined in Section 10(23C)
Money Received from a charitable Institution registered under section 12AA

Vittal Kumar B.S (3 Points)
Replied 08 March 2019

Sir, I am a 45-year old male. I am hearing impaired in both my ears. I have been advised to undergo Cochlear Implant surgery, which costs INR 10 Lakhs for one ear. I have received donations from my friends around INR 7 Lakhs. This money will be utilised towards the surgery and other medical expenses. Should I pay tax on these donations received ? Kindly let me know.