Can a DDO consider tax rebates under Sec 80G for school teachers?

In most cases if the employee did any Expences on a certain ground which attracts any deduction. So he or she can give it to this employer to get deducted on the time of income tax. like payment of LIC premium, loan principal repayment, tuition fee of children, etc under 80C and other deduction also including 80G which enable the employer to deduct a certain amount of donation made by employees. 

But hay as per income tax department:

an employer can accept only information on certain donations (such as a donation to The Prime Minister’s Drought Relief Fund) for the calculation deduction on salary. 

For other donations, employees need to submit his/her tax file to get relief in their tax return filed with the Income Tax Department doesn't give permission the same through the employer.

Now lets see how many donations are there under  80G :-

80g exemption list or 80g deduction for ay 2019-20

S.NO	DONEE	Deduction (as a percentage of amount donated)
1.	National Defence Fund made by the Central Govt	100%
2.	Prime Minister’s National Relief Fund	100%
3.	Prime Minister’s Armenia Earthquake Relief Fund	100%
4.	Africa (Public Contribution – India) Fund	100%
5.	National Children’s Fund	100%
6.	National Foundation for Communal Harmony	100%
7.	University or Educational Institution of National Eminence (approved)	100%
8.	Chief Minister’s Earthquake Relief Fund, Maharashtra	100%
9.	Fund set up by State Government of Gujarat for providing relief to the victims of the earthquake in Gujarat	100%
10.	Zila Saksharta Samiti	100%
11.	The National Blood Transfusion Council, State Blood Transfusion Council	100%
12.	The fund held by a State Government for the medical relief to the poor	100%
13.	Central Welfare Fund of Army or may be the Indian Naval Benevolent Fund or may be The Air Force Central Welfare Fund	100%
14.	Andhra Pradesh Chief Minister’s Cyclone Relief Fund	100%
15.	National Illness Assistance Fund	100%
16.	Chief Minister’s Relief Fund, Lieutenant Governor’s Relief Fund	100%
17.	National Sports, National Cultural, Technology Development and Application funds	100%
18.	Swachh Bharat Kosh	100%
19.	Clean Ganga Fund	100%
20.	National Fund for Control of Drug Abuse	100%
21.	Jawaharlal Nehru Memorial Fund	50%
22.	Prime Minister’s Drought Relief Fund	50%
23.	Indira Gandhi Memorial Fund	50%
24. 25.	Rajiv Gandhi Foundation Donation towards Bharat Ke Veer fund	50% 50%

Deduction available for the amount contributed under section 80G subject to the limit.

Contribution or donation given to any other institution other than discussed above can also get deduction us 80G. However, the deduction in respect of such donations or contributions will be restricted to 50% or 100% of the Net Qualifying Amount.

The following table describes the funds where contributions/ donations made are eligible for deduction from GTI (Gross Total Income) subject to the qualifying limit as:

TABLE- II

S.No.	Particulars	Deduction (as a percentage of net qualifying amount)
1.	Donation to Government or any local authority approved by govt, institution, or association to be made for the purpose of promoting family planning.	100%
2.	Donation given by any company to the Indian Olympic Association or to any other association or institution notified for the development of infrastructure for sports and games in India or the sponsorship of sports and games in India. (Note: Only the  companies are eligible to claim deduction under this i.e. this is not available to any other assessee.)	100%
3.	Funds/ Institutions which accepts conditions mentioned under section 80G(5)	50%
4.	Donation to Govt or any local authority for the purpose of utilize  any charitable purpose other than promoting family planning	50%
5.	Any body made in India for satisfying the needs for housing accommodation or for the purpose of planning/development of towns, villages, etc.	50%
6.	Any corporation specified U/S 10(26BB) for the promotion of the interest of minority community	50%
7.	Any notified (by govt for tax purpose) temple, mosque, gurdwara, church or other places for the purpose of renovation & repairs	50%

it is said that the deductions are subject to the Net Qualifying Amount, now the question is what is Net Qualifying Amount?

Net Qualifying Amount means 10% of the adjusted GTI i.e gross total income or the donations/ contributions made (excluding the donation/ contribution to the specified funds as mentioned in Table-I), whichever is less.

How to calculate Adjusted Gross Total Income (AGTI)?

Gross Total Income            XXX

Less: Exempt income                       (xxx)

Less: Long term Capital Gain                        (xxx)

Less: STCG or Short term Capital gain on salling of shares

           u/s 111A (taxable @10%)                                                      (xxx)

Less: Deductions under sec 80CCC to 80U (exclude 80G)                (xxx)

Less: Income refers under section 115A, 115AB, 115AC or 115 AD (xxx)

Adjusted Gross Total Income                         XXX

Therefore, the amount of deduction available under section 80G having the constraint of the limit shall be or 80g deduction calculation

Deduction = 50% or 100%  10% of AGTI 

(as the case may be)* Or      (Whichever is less)

Total donations u/s 80G

*Refer Table- II

What Payment proof is needed to be submitted to claim deduction under section 80G? 

The assessee claiming deduction under section 80G is required to present payment proof. The assessee should submit the receipt as jpg or pdf file in portal issued by the donee-institute to get the relief of the deduction. Such receipt should indicate name, address, PAN and the registration number of Donee under section 80G along with the validity of the registration and the name and amount donated/ contributed by the Donor.

 Payment proof in case the employer donates by way of consolidated cheque?

In the case where donations/ contributions are made to:

- National Defence Fund

- Army Central Welfare Fund

- Indian Naval Benevolent Fund

- Air Force Central Welfare Fund

- National Relief Fund

- Chief Ministers Relief Fund

- Lieutenant Governors Relief Fund.

Apart from the economy this really helps to ensure sustainable development across all over India. If you want explore more about economy click that 

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after all this procedure 80g certificate will be issued to you, following is the simple

 

About Commerce Now

Hi, Myself CMA Mousam Roy having more than 5 years experience in commerce field,teaching field as well as professional field with working with PSU and big Firm.