80GGC: Individual Donation

Section 80GGC of Income Tax Act, 1961

Section 80GGC under the Income Tax Act, 1961 provides tax deduction benefits on donations made by any individual (person) to political parties (like Public Political Party; PPP; www.publicpoliticalparty.com ) subject to certain conditions. It should be noted that there is no upper limit specified under section 80GGC, which means any amount contributed to a political party can be claimed as a tax deduction.

Under section 80GGC, only individual taxpayers are allowed to claim tax benefits.

To claim tax benefits, donations should not be made in cash. All other modes of donations except cash are eligible for claiming a tax deduction.

Donations must be made to a registered political party under section 29A of Representation of People Act (RPA), 1951 (like Public Political Party; PPP; www.publicpoliticalparty.com ). Donations made to electoral trust also will be eligible for claiming tax deduction under section 80GGC.

There is no limit specified under section 80GGC. Therefore, any amount contributed to an electoral trust or a registered political party (u/s 29A of the RPA, 1951) (like Public Political Party; PPP; www.publicpoliticalparty.com ) can be claimed for the tax deduction.

The donations made u/s 80GGC are 100% tax deductible.

If a person want to donate to any political party, (like Public Political Party; PPP; www.publicpoliticalparty.com ) must ask filled ITR of last 2 years. If party is not filing the ITR the deduction could be cancelled.