Tuesday 30 June 2015

DON'T LOOSE SECTON 80G DEDUCTION DUE TO IGNORANCE

It had been found that tax payers are making the following payments and never claimed  section 80G deduction as they are not aware that. following are the few examples .

01. Payments made for Marriage Hall booking : Please note that most of the marriage halls or kalyana mantapa are run under some trust and  many of these trust are registered under Income tax. Hence, any payment made to this trust are eligible payments under section 80G. Please enquire the same at the time of booking of the marriage hall and claim the deduction.

02. Donation paid  at the time of admission in educational institution : Tax payers are paying caption fee or donation to the educational institution for getting admission of their children’s in the school & colleges. Please enquire with the school/ college that weather the payment made to them is covered under section 80G and if covered then claim the deduction. 

03. Donation in the Temple : Many tax payers put bulk amount in cash in the hundi of the temple. All big temples are run under registered trust and hence if tax payers pays donation in the office of the temple and get receipt from them then they are eligible for deduction. 

04. Deductions from Salary : Salaried tax payers sometimes opted for payment to some NGOs via deduction from their salary. the employer will deduct the amount from the salary every month and pay to the NGO. Please note that employer at the time of deduction of TDS under section 192 will not considered these donation due to Circular No. 8/2010 dated December 13, 2010. hence, employee should claim the deduction in the return of income, however many salaried tax payer don’t claim the same as they file return of income based on the Form 16 received from their employer.

No comments:

HC upholds validity of provisions restricting ITC where supplies are taxed under RCM

  This Tax Alert summarizes a recent judgement of the Delhi High Court (HC) [1] dealing with the issue of denial of input tax credit (ITC) ...