80G Registration

The 80G registration refers to the provision under the Income Tax Act, 1961, which allows donors to claim tax deductions for donations made to eligible charitable organizations.

1. Eligibility: Charitable organizations, trusts, or institutions that meet certain criteria are eligible to apply for 80G registration. These organizations typically engage in activities such as relief of poverty, advancement of education, promotion of health, preservation of environment, and other charitable purposes.
2. Tax Deduction: Donors who contribute to organizations registered under section 80G of the Income Tax Act are eligible to claim tax deductions on their donations. The amount of deduction varies depending on the type of donor and the nature of the donation, but it is subject to certain limits specified in the Act.
3. Application Process: The application for 80G registration is made to the Commissioner of Income Tax (Exemptions) or other designated authority in the jurisdiction where the charitable organization is located. The application must be accompanied by various documents, including:

1. • Copy of the trust deed or instrument of establishment, along with any amendments.
   • Copies of registration certificates, if any, obtained under other laws.
   • Details of activities carried out by the organization.
   • Audited financial statements for the preceding years.
   • PAN (Permanent Account Number) and address proof of the organization.
   • Any other documents or information as required by the tax authorities.

1. Verification and Approval: The tax authorities will examine the application and supporting documents to ensure that the charitable organization meets the eligibility criteria for 80G registration. If satisfied, they will issue a registration certificate under section 80G of the Income Tax Act, allowing the organization to issue tax exemption certificates to donors.
2. Compliance Requirements: Once registered under section 80G, the charitable organization must comply with certain requirements to maintain its eligibility for tax deductions. This includes:

1. • Utilizing the donations received for the specified charitable purposes.
   • Maintaining proper books of accounts and other records of its activities.
   • Filing annual income tax returns and other statutory returns as required by law.
   • Adhering to any other conditions or restrictions imposed by the tax authorities.

1. Validity Period: The registration under section 80G is typically valid for a specified period, after which it may need to be renewed. The tax authorities may review the registration periodically to ensure continued compliance with the relevant provisions of the Income Tax Act.