"Donation" offered by a person is deductible under __________ of the Income Tax Act, 1961.

Question

Question

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UP Police SI (दरोगा) Official PYP (Held On: 12 Nov 2021 Shift 3)

Answer 1

The correct answer is Section 80 G.

Key Points

Section 80 G of the Income Tax Act, 1961, allows deductions for donations made to certain relief funds and charitable institutions.
Donations specified under this section can be claimed as a deduction while computing the total income of an assessee.
The deduction amount can range from 50% to 100% of the donated amount, depending on the type of institution or fund.
The donation must be made to approved institutions and funds to qualify for deductions under Section 80 G.
To claim this deduction, the taxpayer must provide a receipt containing the name, address, PAN of the trust, the amount donated, and the registration number of the trust under Section 80 G.

Additional Information

Section 80 E
- Section 80 E provides deductions on interest paid on education loans taken for higher education.
- This deduction is available for a maximum of 8 years starting from the year in which the taxpayer starts repaying the loan.
Section 80 D
- Section 80 D allows deductions for premium paid on health insurance policies for self, spouse, children, and parents.
- The deduction limit varies based on the age of the insured and other factors.
Section 80 C
- Section 80 C provides deductions for various investments and expenses such as Life Insurance Premiums, PPF, NSC, and tuition fees.
- The maximum deduction allowed under this section is ₹1.5 lakh per financial year.