The 80g deduction is a provision under the income tax act, 1961 that allows taxpayers to claim a deduction for donations made to certain charitable organizations. The deduction can be claimed up to a certain limit, depending on the type of organization and the amount donated.
Here are some tips to increase the advantages of the 80g deduction:
- Donate to eligible organizations: to claim the 80g deduction, you must donate to organizations that are registered with the income tax department and have a valid 80g certificate. Donating to such organizations ensures that you are eligible for the deduction and that your donation is being used for charitable purposes.
- Donate to organizations that qualify for higher deductions: different types of organizations are eligible for different deduction limits. For example, donations to certain government funds or organizations for promoting sports and games qualify for a 100% deduction without any upper limit. Donating to these organizations can help you maximize your deduction benefits.