Ayodhya Ram Mandir inauguration: How your donation can help you save money from income tax outgo?

Taxpayers can save on income tax by contributing to the Ram Temple. As per Shri Ram Janmabhoomi Teerth Kshetra Trust website, "The Central Government has notified "SHRI RAM JANMABHOOMI TEERTH KSHETRA" (PAN: AAZTS6197B) to be a place of historic importance and a place of public worship of renown for the purpose of the said section from the year FY 2020-2021. 50% of Voluntary Contribution, for the purpose of renovation/repair of Mandir to Shri Ram Janmabhoomi Teerth Kshetra is eligible for deduction under sec 80G (2) (b), subject to other conditions mentioned under section 80G of the Income-tax Act, 1961. Cash donations over ₹2000 are not allowed as a tax deduction.

Also Read: Ram Mandir Inauguration Ceremony LIVE Updates

Section 80C Income Tax Act

Section 80G allows donations made to specified relief funds and charitable institutions as a deduction from gross total income before arriving at taxable income.

How to make donations

• The official website of Shri Ram Janmabhoomi Teerth Kshetra offers various options and modes for contributing the amount.
• To donate, one can go to the official website of the Shri Ram Janmbhoomi Teerth Kshetra, and click on the donation section.
• A person can log in using Mobile OTP

• Now fill in the information such as name, purpose of donation, PAN Number, donation amount, address, mobile number, email ID, etc.
• The donation receipt is generated instantly and can be downloaded by the donor.
• Various donation methods are available, including payment gateways, UPI, NEFT, IMPS, demand draft, and cheque payments.

Deductions under Section 80G for the amounts donated to Shri Ram Trust

-Donations should be specifically given for the renovation/repair of the temple

-Donors should collect the donation receipt

-Donations exceeding Rs. 2,000 should not be in cash

-Deduction can be claimed up to 50% of the amount donated subject to the qualifying limit

According to Avinash Polepally, Senior Director, ClearTax,"The Income Tax Act of 1961, under Section 80G, offers tax deductions for donations to eligible charitable institutions. This benefit extends to all taxpayer categories, including individuals, companies, firms, and LLPs, regardless of residency status. Donations attract deductions ranging from 50% to 100%, depending on the institution and purpose."

“The Central Government officially recognised Shri Ram Trust as a historically significant and renowned public place of worship for Section 80G(2)(b) purposes starting in the 2020-21 financial year. Therefore, donations specifically aimed at temple renovation or repair qualify for a 50% deduction under this section. However, note that deductions exceeding 10% of your adjusted gross total income (ATI) limit will not allowed. Also, donations for any other purpose other than temple repair and renovation will not be allowed,” he further stated.

The Central Board of Direct Taxes (CBDT) has said donations made to the Shri Ram Janmabhoomi Teerth Kshetra are eligible for deduction under Section 80G of the Income Tax Act, 1961.

On January 22, a new chapter will be written in Ayodhya with Ram Temple Pran Pratistha ceremony which will be attended by Prime Minister Narendra Modi and over 7,000 guests.

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