What is the deduction under Section 80g of the Income Tax Act?

The Income Tax Act has a provision known as Section 80G that enables taxpayers to deduct a variety of contributions made as charitable donations. Donations to the designated non-profits/ NGOs and charity organizations are eligible for the Act’s deduction. When filing the income tax return, the amount donated may be deducted as per section 80G.

The donation would not be eligible for a deduction if it was made while the 80G registration of charity/ trust/ non-profit was not active.

How does tax exemption donation help in saving tax?

Tax exemption donation reduces the tax liability of the donor by decreasing his/ her taxable income under the 80G section of IT. Only registered charities/ trusts/ non-profits are eligible to issue 80G tac receipts and it decreases taxable salary by 50% of the donated amount. 

How can I claim the 80G tax benefit?

All donations made to Wellbeing Foundation are eligible for a 50% deduction from taxable income under Section 80G of the Income Tax Act. Wellbeing Foundation is registered under the act and has the approval of the IT department under the 80G section. By donating to Wellbeing Foundation you will get a certificate under Section 80G with a receipt that can be used while filing income tax returns (ITR) for tax deductions. It reduces the tax liability by 50% of the donated amount.

What is the minimum amount that needs to be donated to get a tax exemption?

While there is no specified minimum amount to avail of tax exemption under IT section 80G for online donation