Section 80G lets individuals, HUFs, firms and companies deduct donations to approved funds and institutions — at 100% or 50%, either without limit or capped at 10% of adjusted gross total income. Cash donations above Rs.2,000 are not eligible. You must hold Form 10BE from the donee to claim it. Crucially, from FY 2025-26 the deduction is available only if you file under the old tax regime — the new default regime does not allow 80G for ordinary charitable donations.
Section 80G Deduction Categories
Every 80G donation falls into one of four categories, set by the deduction percentage and whether the 10% qualifying limit applies. The category is fixed by the approval the recipient holds — not by the donor.
| Category | Rate | Limit | Key recipients |
|---|---|---|---|
| Govt relief funds | 100% | No limit | PM National Relief Fund, National Defence Fund, PM CARES, Swachh Bharat Kosh, Clean Ganga Fund |
| Approved institutions | 100% | 10% of AGTI | Approved universities, IIT development funds, notified research bodies |
| Memorial trusts | 50% | No limit | Jawaharlal Nehru Memorial Fund, PM Drought Relief Fund, Indira Gandhi Memorial Trust, Rajiv Gandhi Foundation |
| Other approved bodies | 50% | 10% of AGTI | Most charitable trusts, NGOs, hospitals, religious institutions |
Political-party donations go under Section 80GGC (individuals) / 80GGB (companies), not 80G. AGTI = adjusted gross total income.
Under Section 80G(5D), any donation over Rs.2,000 paid in cash gets zero deduction. Pay by cheque, DD, UPI, NEFT, RTGS or card so the amount is traceable. Donations in kind (clothes, food, medicines, equipment) never qualify — only money does.
How the Qualifying Limit Works
For the two "with limit" categories (approved institutions at 100% and other approved bodies at 50%), the deduction is the lower of: (a) 100% or 50% of the donation, or (b) 10% of your adjusted gross total income (AGTI).
AGTI = gross total income minus all other Chapter VI-A deductions (like 80C and 80D), minus exempt income and long-term capital gains — but before the 80G deduction itself.
AGTI & 10% cap
Deduction on Rs.2,00,000 to an NGO (Cat 4)
Donations to the PM National Relief Fund, National Defence Fund and similar 100%-no-limit funds are fully deductible however large — the 10% AGTI cap does not touch them.
Section 80G Under the New vs Old Regime
The new regime is the default from FY 2023-24. Like almost all Chapter VI-A deductions, 80G for ordinary charitable donations is not allowed under it. To claim your donation deduction you must opt for the old regime when filing your Income Tax Return.
Old tax regime
- All four 80G categories claimable
- 100% and 50% donations allowed
- 10% qualifying-limit rules apply
- Best for donors who give meaningfully
New (default) regime
- 80G for charitable trusts / NGOs blocked
- Most Chapter VI-A deductions gone
- Only 80CCD(2) employer NPS & 80JJAA survive
- Choose old regime if you want 80G
Your regime choice drives TDS on salary. If you plan to claim 80G under the old regime, inform your employer at the start of the year and lock the choice by the ITR due date. Under the new regime, a full rebate under Section 87A already makes income up to Rs.12 lakh tax-free, so run both regimes before deciding.
Not sure whether the old regime with 80G beats the new default? Get a side-by-side calculation.
Talk to a Tax Expert →Form 10BE & Form 10BD — Now Mandatory
From FY 2021-22, the deduction is proof-driven. The donee institution files Form 10BD (statement of donations) with the department and issues you Form 10BE (donation certificate). Without Form 10BE the claim can be disallowed on scrutiny — even with a genuine receipt.
| Form | Filed by | Due date | Purpose |
|---|---|---|---|
| Form 10BD | Donee institution | 31 May of following FY | Annual statement of all donations to the department |
| Form 10BE | Donee → issued to donor | 31 May of following FY | Donation certificate you quote in your ITR |
80G data is auto-populated in the pre-filled ITR from Form 10BD. Verify it against your Form 10BE before submitting.
How to Claim 80G in Your ITR
- Opt for the old tax regime while filing
- Confirm the donee holds a valid 80G approval (check the income-tax portal)
- Collect Form 10BE from the donee after 31 May
- Enter donee name, PAN and amount in Schedule 80G
- Apply the correct 100% / 50% rate and the 10% AGTI cap
- Enter the deductible amount — not the raw donation
| Donation | Eligible? | Reason |
|---|---|---|
| Online / cheque / UPI to approved fund | Yes | Traceable mode, approved recipient |
| Cash up to Rs.2,000 | Yes | Within the cash ceiling |
| Cash above Rs.2,000 | No | Barred by Section 80G(5D) |
| Donation in kind (goods, food, medicine) | No | Only monetary donations qualify |
| Donation to unapproved / foreign body | No | Recipient must hold Indian 80G approval |
| Under the new default regime | No | 80G disallowed unless you opt old regime |
Section 80G — Frequently Asked Questions
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