Harun Raaj & AssociatesHarun Raaj & Associates

Moment guide · FY 2026-27

I am claiming deductions for charitable donations

How do I claim 80G deduction on donations?

Sec 80GSec 80GGCSec Rule 18AAAVerified 2026-08-11

Donations to notified funds like PM CARES qualify for a 100% deduction with no limit, while most approved institutions give 50% or 100% subject to a qualifying limit of 10% of adjusted gross total income. Cash donations above ₹2,000 are wholly disallowed, Form 10BE acknowledgment is needed above ₹500, and political donations fall under 80GGC instead.

Your legitimate options

Every route the statute actually gives you — with its condition, cap and deadline.

RouteConditionCap / deadline
100% with no qualifying limitCertain funds (e.g., PM CARES, PM National Relief Fund) qualify for 100% deduction with no limitDonation must be by non-cash mode
50% or 100% with qualifying limitMost approved institutions give 50% or 100% deduction, subject to a qualifying limit of 10% of adjusted gross total incomeQualifying limit = 10% of adjusted GTI
Cash donationsCash donations above ₹2,000 are disallowed entirely — no deductionForm 10BE acknowledgment required for donations above ₹500

The #1 trap

Donating cash above ₹2,000 and expecting the deduction — any cash donation exceeding ₹2,000 is disallowed in full. Also, many donors miss that the 80G deduction needs the donee's Form 10BE acknowledgment (the receipt with the 10BE number) and that political donations fall under section 80GGC, not 80G, with their own rules.

The decision path

Follow it top to bottom — the first condition that matches is your answer.

  1. IF you donate to PM CARES or a similar notified fund → claim 100% with no qualifying limit.
  2. IF you donate to an approved institution → claim 50% or 100% subject to the 10% of adjusted GTI qualifying limit.
  3. IF you donate in cash above ₹2,000 → the entire donation is disallowed; pay by digital or cheque.
  4. IF the donation is above ₹500 → obtain the donee's Form 10BE acknowledgment for the claim.
  5. IF you donate to a political party → use section 80GGC, not 80G.
  6. IF you are in the new regime → 80G is not available. [VERDICT: no cash above ₹2k, keep the 10BE, and pick the right section.]

Worked example

Rakesh, donating to multiple causes in FY 2025-26

Rakesh donates ₹50,000 to the PM CARES Fund by bank transfer. Under section 80G, donations to the PM CARES Fund qualify for a 100% deduction with no qualifying limit, so the entire ₹50,000 is deductible in his old-regime return. He also donates ₹40,000 to an approved charitable trust, which qualifies for 50% subject to the qualifying limit of 10% of adjusted gross total income. His adjusted GTI is ₹15,00,000, so the qualifying limit is ₹1,50,000; the 50% eligible portion of the ₹40,000 is ₹20,000, which is within the limit, so he claims ₹20,000. If his eligible donations had exceeded the ₹1,50,000 qualifying limit, only the portion within it would be deductible. A ₹3,000 cash donation to a local temple is completely disallowed, because cash donations above ₹2,000 are not deductible at all. Rakesh keeps the Form 10BE acknowledgments for the PM CARES and trust donations, since donations above ₹500 require them for the claim to be accepted. His friend donated ₹25,000 to a political party through cheque and claimed it under section 80GGC, not 80G, because political donations have their own provision with a 100% deduction and their own limits. If Rakesh were in the new regime, none of the 80G deductions would apply. He files the donations schedule with the 10BE numbers and keeps the payment records. A quick call with us dials in the final figure. Rakesh also confirms that the donee must be registered under section 80G and the registration number is quoted in the return; a donation to an unregistered body attracts no deduction even if it is charitable in nature. The qualifying limit of 10% of adjusted gross total income applies to the eligible donations before the 50% or 100% percentage is applied, and the adjusted GTI is the gross total income minus the long-term capital gains and other specified items. If the donation is in kind, such as food or clothes, no deduction is allowed, because only money donations qualify. The Form 10BE acknowledgment is issued by the donee on the portal, and the number must be quoted in the return for donations above ₹500. If the donation is to a political party, section 80GGC allows a 100% deduction subject to its own limits, and cash donations to political parties above ₹2,000 are likewise disallowed. A quick call with us dials in the final figure.

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Questions people actually ask

What is the 80G deduction for PM CARES?

Donations to the PM CARES Fund and similar notified funds qualify for 100% deduction with no qualifying limit, paid by non-cash mode.

What is the qualifying limit for 80G?

For most approved institutions, the deduction is 50% or 100% subject to a qualifying limit of 10% of adjusted gross total income.

What happens to cash donations?

Cash donations above ₹2,000 are disallowed entirely. Donations above ₹500 also need the donee's Form 10BE acknowledgment.

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Sections: 80G, 80GGC, Rule 18AAA · Last verified 2026-08-11 · Reviewed by Harun Raaj & Associates, Chartered Accountants. Every figure cites the Income-tax Act, 1961 (with ITA 2025 mapping via our section index).