Donation to Orphanage

Under Section 80-G of Income Tax Act, you are eligible for income tax deductions only for the amount which has been donated.

Deduction Limit  
The tax deduction limit under Section 80G of ITA is either 50% or 100%. It entirely depends on the charitable institution to which the amount is donated.

Charitable organizations with 100% deduction without any qualifying limit:

• Prime Minister’s National Relief Fund
• National Defence Fund
• Prime Minister’s Armenia Earthquake Relief Fund
• The Africa (Public Contribution – India) Fund
• The National Foundation for Communal Harmony
• Approved university or educational institution of national eminence
• The Chief Minister’s Earthquake Relief Fund, Maharashtra
• Donations made to Zila Saksharta Samitis.
• The National Blood Transfusion Council or a State Blood Transfusion Council.
• The Army Central Welfare Fund or the Indian Naval Benevolent Fund or The Air Force Central Welfare Fund.
• Army Central Welfare Fund, Indian Naval Ben. Fund, Air Force Central Welfare Fund.
• National Illness Assistance Fund
• Chief Minister’s or Lt. Governor’s Relief Fund
• National Sports Fund
• National Cultural Fund
• Govt. / local authority/ institution/ association towards promoting family planning
• Central Govt.’s Fund for Technology Development & Application
• National Trust for Welfare of Persons with Autism, Cerebral Palsy, Mental Retardation & Multiple Disabilities
• Indian Olympic Association/ other such notified association
• Andhra Pradesh Chief Minister’s Cyclone Relied Fund

Charitable organizations with 50% deduction without any qualifying limit

1. Jawaharlal Nehru Memorial Fund
2. Prime Minister’s Drought Relief Fund
3. National Children’s Fund
4. Indira Gandhi Memorial Trust
5. The Rajiv Gandhi Foundation
6. Donations to govt./ local authority for charitable purposes (excluding family planning)
7. Authority/ corporation having income exempt under erstwhile section or u/s 10(26BB)
8. Donations for repair/ renovation of notified places of worship
9. World Vision India
10. UdavumKarangal

For certain donations, the aggregate deduction limits to 10 per cent of the ‘Adjusted Gross Total Income’. Thus, in such cases, even if you are donating funds eligible for deduction, it would be capped at 10 per cent of the Adjusted Gross Total Income – Gross total income minus long-term capital gain along with short term capital gain and all deduction under Section 80CCC to 80U except any deduction in this section.

Donations to the following are subjected to 10% of Adjusted Gross Total Income:

For 100% Deduction

• Govt. or local authority for promoting family health planning
• Sums paid to Indian Olympic Association

For 50% Deduction

• Govt. or local authority for any charitable purposes other than family health planning.