Donate Money And Get The Following Benefits Under Section 80G
Section 80G of the IT Act lets you make donations to specific relief funds. When you make a donation to Lycee NGO for child education, you get 80G benefits.
People who are eligible tax-payers can automatically qualify for tax deductions under Section 80G. It does not matter whether the taxpayer is a company, a firm or an individual. You either need to be a resident or a non-resident Indian. You get endless benefits when you donate money for child education.
Tax Deduction And Section 80G: Facts About It
- Which donations are eligible for the 80G tax deduction?
There are some considerations regarding this. Recipients must be approved if they want to receive donations. Additionally, there must be a certificate along with the receipt to take benefit from the deduction. If the cast donation exceeds more than Rs. 2000, the deduction is not possible (at least not in cash).
- What is the amount of tax deduction under Section 80G?
The amount of dedication depends completely on the receiver. There are three primary categories. The first one is 100 per cent of Category 1 donation. Next, is 50% of the second category deduction. 100% of Category 3. However, it is subject to the qualifying limit. And finally, 50% of Category 4 is also dependent on the qualifying limit.
- How can I calculate my deductible amount under this section?
There are three basic steps to measure the deductible amount under section 80G.
-
Know which category the fund organization belong to. To make it easier, you can take references from another blog
-
If you make the payment under the first category, there will be no need for additional calculations. You can easily claim 50% or 100% of the donation amount as your taxable income.
-
Prior to making any second category payment, first, depict the qualifying limit. For any donation, the qualifying limit is 10% of the gross total income.
Why You Should Practice Donating Money For Education?
While there can be reasons far and wide, we know the charity is one of the noblest jobs. It is a major mood booster that not only makes us feel good about ourselves but also strengthens our personal values. The fact that we are in a state where we can help others hugely empowers us.
On the other hand, charity is no less than the feeling of social conscience. Hence, practising donating money to educate a child is something you should definitely opt for.
The Bottom Line
Are you are planning to make your first donation? Then, contact Lycee charitable trust in Kolkata. It is the most trusted top poor child education ngo in india that highly empowers child education. So, make your first move with Lycee Trust.
