Donation to pollitical party in india

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Ca Subhash Kumar

Ca Subhash Kumar (Querist)
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14 March 2013 DONATION TO ANY POLLITICAL PARTY IN INDIA
IS 100% EXEMPT UNDER SECTION 80GGB & 80GGC?

IS THIS CORRECT?

CA Ayush Agarwal

CA Ayush Agarwal (Expert)
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14 March 2013 Subject to the amount should not exceed 10% of GTI.

CA RICHA BADALIA

CA RICHA BADALIA (Expert)
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14 March 2013 According to me there is no such limitation i.e 10% of GTI in 80GGB and 80GGC.

Ca Subhash Kumar

Ca Subhash Kumar (Querist)
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11 April 2013 is any requirement of registration in Income tax Act?

CA Ayush Agarwal

CA Ayush Agarwal (Expert)
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12 April 2013 Not necessarily required to registerd.

but it should be registered under representation of people act 1951 as political party.

If you have contributed any amount to a recognised political party, you are eligible to claim a tax deduction ranging from 50 percent to 100 percent of the amount under Section 80GGC for individuals and Section 80GGB for corporate organisations. One can contribute up to 10 percent of one’s gross total income to a political party.

Deduction in respect of contributions given by any person to political parties.
80GGC. In computing the total income of an assessee, being any person, except local authority and every artificial juridical person wholly or partly funded by the Government, there shall be deducted any amount of contribution made by him, in the previous year, to a political party or an electoral trust.

For the purposes of sections 80GGB and 80GGC, “political party” means a political party registered under section 29A of the Representation of the People Act, 1951 (43 of 1951)

Deduction in respect of contributions given by companies to political parties.
80GGB. In computing the total income of an assessee, being an Indian company, there shall be deducted any sum contributed by it, in the previous year to any political party or an electoral trust.

For the removal of doubts, it is hereby declared that for the purposes of this section, the word “contribute”, with its grammatical variation, has the meaning assigned to it under section 293A of the Companies Act, 1956 (1 of 1956).

Read Here Full Details Richa.

https://gsoftnet.blogspot.in/2012/05/donation-deductions-and-section-80ggc.html

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