What documents are required to claim tax exemption on donations made to NGOs in India?
Donating to a registered NGO in India not only supports meaningful social causes but can also provide tax benefits under Section 80G of the Income Tax Act. However, to successfully claim a tax deduction, donors must keep certain documents and details ready while filing their income tax returns. Understanding these requirements helps ensure a smooth and valid claim.The most important document is the official donation receipt issued by the NGO.
This receipt should clearly mention the NGO's name, address, PAN number, and 80G registration details, along with the amount donated, date of donation, and donor's name. Without this information, the tax exemption claim may be rejected.Another key requirement is proof of payment. Donations should ideally be made through banking channels such as UPI, net banking, cheque, debit card, or credit card.
Cash donations above the permissible limit are not eligible for tax deductions. Maintaining transaction proof or bank statements can be helpful in case of verification.Donors should also check whether the NGO has a valid and active 80G certificate at the time of donation.
Some 80G Exempt NGOs also provide a certificate or acknowledgment letter that confirms eligibility for tax exemption, which can be kept for records.When filing income tax returns, the donation amount must be declared under the appropriate section, and details from the receipt should be entered correctly. Keeping digital copies of all documents ensures easy access during filing or future reference. Proper documentation not only secures tax benefits but also promotes transparent and responsible giving.
