WHAT I CALL THIS ?


This query is : Resolved 

21 July 2010
MR. A GIVE RS.15 LACS FOR >

A. DEVELOPMENT OF COMMUNITY WALL

B. TO BEGGAR

C. TO A CHARITABLE INSTITUTION

D. FOR ADDMISSION IN SCHOOL


WHAT IT IS CALLED A CHARITY, DONATION OR CONTRIBUTION IN RESPECT OF EACH POINT ??

PLEASE GIVE ANSWER POINT WISE AND REASON

21 July 2010 A- Development of Community wall - If community is registered u/s 80G then donation or contribution. If not registered then charity and no benefit under Income Tax Act.

B- To begger - Charity and no benefit under Income Tax Act.

C- To charitable Institution- As they are registered under Section 80G so it is contribution or donation.

D- For Admission in School- Whatever you pay as donation is illegal and this is neither charity or donations.

C-

22 July 2010 if a charitable institution is not registered under 80 G

A. the amt. we provide will be CONTRIBUTION OR CHARITY ??


B. WHAT IS THE DIFFERENCE BETWEEN CONTRIBUTION AND DONATION ??

03 August 2025 Great questions! Let me clarify these terms and your points one by one with reasons:

---

### What to Call Each Payment: Charity, Donation, or Contribution?

| Point | Description | What is it Called? | Reason |
| ----- | ----------------------------- | ------------------------------------------------------------------- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- |
| A | Development of Community Wall | **Donation or Contribution** (if registered under Section 80G) | If the community or institution is registered under Section 80G, the amount qualifies as donation/contribution eligible for tax benefits. If not registered, it is charity but no tax benefit. |
| B | To Beggar | **Charity** | Direct help to an individual; not a donation or contribution to a registered institution. No tax benefits. |
| C | To Charitable Institution | **Donation or Contribution** | If the institution is registered under Section 80G, payments are considered donations/contributions eligible for tax deductions. |
| D | For Admission in School | Neither Charity nor Donation (often considered an illegal donation) | Payments made for admission fees or donations as a condition for admission are generally **not recognized as charitable donations** and may be illegal or against regulations. |

---

### If Charitable Institution is NOT Registered under Section 80G:

* **A. What is the amount called?**
It is considered **Charity**, but not eligible as a **Donation** for tax deduction purposes.

* **B. Difference Between Contribution and Donation:**

| Term | Meaning | Key Difference |
| ---------------- | -------------------------------------------------------------------------------------------------------------------------- | ----------------------------------------------------------------------------- |
| **Donation** | Voluntary gift given to a registered charitable institution (usually eligible for tax benefits under Section 80G). | Donations are eligible for tax deduction if given to registered institutions. |
| **Contribution** | Can be similar to donation but sometimes used for membership fees or payments to unregistered entities or specific causes. | May or may not be eligible for tax deduction; more general term. |

---

### Summary:

* **Charity:** Voluntary help given directly (e.g., to a beggar), usually no tax benefits.
* **Donation:** Gift to a registered charitable institution, eligible for tax benefits.
* **Contribution:** Broader term; may refer to donations or payments to an institution but depends on registration and context.

---

If you want, I can help prepare a detailed note or explain the tax implications of each!


You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now



Similar Resolved Queries


loading


Unanswered Queries



CCI Pro



Answer Query



Company
08 August 2026
International Corporate Tax Advisory

Shulke

Bengaluru

CA

View Details
Company
ARTICLESHIP 08 August 2026
Article Assistant

Sanath Sheshagiri & Co.

Bengaluru

CA Inter

View Details
Company
ARTICLESHIP 24 August 2026
Chartered Accountant Articles

Rohit KC Jain & Co

New Delhi

CA Inter

View Details
Company
24 August 2026
Semi-Qualified CA/CA Finalist - Tax, GST, Audit & Accounts

Bharat Shah & Associates

Mumbai

CA Inter

View Details
Company
ARTICLESHIP 26 August 2026
CA Article Assistant/CA Drop Out/Accounts Executive

PARV & Co.

New Delhi

CA Inter

View Details
Company
ARTICLESHIP 01 September 2026
Articles

Saini Pati Shah & Co LLP, Chartered Accountants

Mumbai

CA Foundation

View Details
Company
ARTICLESHIP 29 August 2026
Article Assistant

RRPM & ASSOCIATES LLP

Chennai

CA Inter

View Details
Company
ARTICLESHIP 26 August 2026
Article Assistant

ANIVESH CONSULTANTS LLP

Gurgaon

CA Inter

View Details