80G REGISTRATION
Under the Income Tax Act of India, Section
80G provides valuable tax benefits
to individuals, companies, and organizations that make donations to recognized
charitable institutions and non-profit organizations. To enable donors to claim
these benefits, charitable trusts and NGOs must obtain 80G registration from the Income Tax Department. This registration
officially recognizes the organization as eligible to receive tax-deductible
donations, thereby encouraging philanthropy and financial support for social
causes.Once an institution secures 80G
registration, donors can claim deductions—usually 50% or 100% of the
donated amount—while calculating their taxable income, depending on the nature
of the charity and the category of approval granted. This not only motivates
individuals and corporations to contribute generously but also strengthens the
financial sustainability of charitable and welfare organizations.80G registration enhances an NGO’s or
trust’s credibility, as it signifies transparency, compliance with tax laws,
and alignment with genuine charitable objectives. It also makes the
organization eligible for corporate CSR contributions and government-backed
funding programs.In essence, obtaining 80G
registration benefits both the donors and the organization donors gain
legitimate tax relief, while the registered institution gains greater trust,
financial stability, and the ability to make a lasting social impact through
its charitable initiatives.