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Social Impact Of Section 80g Of The It Act
Every day, one comes across myriad societal issues such as malnutrition among children, homelessness, exploitation of street animals, gender-based violence and also pervasive environmental pollution. A collective effort is necessary to alleviate such issues. Here comes the role Section 80G of the IT Act plays as it gives tax exemptions for supporting various social welfare programmes and actively contributes to uplifting communities.
Section 80G – An Overview
Section 80G of the Income Tax Act, introduced by the Government of India, allows taxpayers to claim for deduction for their contribution to certain funds and eligible charitable organisations. Depending on the nature of the donation, the amount of exemption varies between 100% or 50%. Providing tax benefits, thereby, encourage people to support different social causes and ultimately makes a positive impact in society.
The Role of NGOs in Fostering Social Welfare Programmes
NGOs act as a bridge between the government and individuals, enhancing the efficiency and impact of different social welfare programmes. Supporting NGOs approved under Section ...
... 80G enables individuals to avail tax exemption. There are numerous NGOs in India that address various societal issues. To get tax exemption, the individuals should ensure that the NGO they plan to donate is registered under Section 12A of the Income Tax Act.
Here are a few causes that you can consider for supporting and get tax exemption:
• Child rights to nutrition and education
The role that education plays in uplifting individuals and society is unquestionable. Though everybody has the right to education, many children especially from marginalised communities face numerous challenges to receive quality education. By supporting NGOs like The Akshaya Patra Foundation, one can make a big difference in the lives of such children. As an implementing partner of the Government of India’s PM POSHAN Abhiyaan (formerly known as the Mid-Day Meal Programme), the organisation is currently feeding over 2 million children on a daily basis. Mid-day meal acts as an incentive for children to come to school and thus increase the enrolment, attendance and retention rate. By supporting Akshaya Patra you can avail of 50% tax exemption.
• Welfare of old-age people
According to a report published by the UN Population Fund, India, in collaboration with the International Institute for Population Sciences, India's elderly population is expected to account for 20% of the nation's population by 2050. This report also highlights the challenges surrounding elderly care in India. Unlike many Western countries, India lacks comprehensive welfare programmes leaving them susceptible to various issues to old age issues. NGOs like HelpAge India are dedicated to address this issue by improving the well-being of senior citizens, advocating their rights and collaborating with the government to implement elder-friendly policies.
• Women empowerment
Empowering women starts with education. Though a progressing country, there is still much work to be done to empower each woman. To unlock the full potential of a country, women should receive quality education and stand shoulder-to-shoulder with men. NGOs like Nanhi Kali work to ensure that all girls are receiving formal 10-year schooling. The organisation strives to give a favourable environment for girl children to fulfil all their dreams.
• Animal rights
There are a lot of animals that roam around the streets without getting adequate love and care. By supporting NGOs that work for animal welfare such as People For Animals (PFA), one can create a more peaceful world where humans and animals coexist in harmony. These organisations rescue, treat and give shelter to the sick and stray animals and raise awareness about their rights. By backing such NGOs, individuals can create a safer and more compassionate world for animals, where they receive the love and care they deserve.
• Environment conservation
Sometimes, in an unbridled pursuit of development, people often forget to preserve the root of our existence, Nature. NGOs like the World Wide Fund for Nature - India (WWF) address environmental issues and educate people about the importance of taking steps to tackle such problems. These efforts play a crucial role in protecting biodiversity, mitigating climate change impacts and ensuring a healthy planet for future generation.
Supporting NGOs not only contributes to achieving the social development goals set by the government but also fosters a sense of community engagement. Through their generous contributions, donors not only benefit from the tax deductions but also play a vital role in bringing positive change and uplifting the communities in need.
Overall, the provision of tax exemption under Section 80G serves as a win-win situation for both the donors and the society at large, paving the way for a brighter and more prosperous future for all.
I'm a social volunteer, lives in Bengaluru. I do work for NGOs to make society better. Currently I'm working for The Akshaya Patra Foundation. It's an NGO in India which provides wholesome nutritious mid-day meals to government school children to end classroom hunger. https://www.akshayapatra.org/
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