Certificate Deduction on Donations while Filing your Income Tax Returns

1. Claim Deduction on Donations while Filing your Income Tax Returns At this time, the taxpayers are busy filing their Income Tax Returns (ITR) and giving their liable taxes. Save your money of your tax in a legal way. And one must do so, as the money saved increases the profit ratio of your company. KNTX has helped its many customers to save money on the taxes. It is a team of professionals who look after your accounting and offers support for IT filing, GST filing, and others. You can also consult KNTX for Income Tax filing in Greater Kailash and Income Tax filing in Hauz Khas. Even though you haven’t thought about it, but yes, you can save a lot of money through insurance, health insurance, tuition fees, provident funds, and others. These are some of the most common modes of tax savings. After the common deductions are used, you must look for whether you have made any charity donations in the last taxation year. This is basically not common as there are many online forums sharing and raising resources for admirable charitable causes. And one may find it necessary to donate the money for such causes. In such cases, you may become qualified for tax reductions on the total donation amount. There are certain conditions associated with these deductions which are as follows: 1. Donations made in case should not exceed more than Rs. 2000. Do not make donations in cash. 2. If you make donations of books, clothes, articles, or something familiar, the deduction of tax is not liable. 3. If you have donated to any political party, then it will be claimed separately. 4. If you donate money to any foreign trust, then make sure whether the trust is Indian or not.

2. Quantum of deductions The amount of deduction made on donation money is different depending upon the type of trust or institution you donating to. The deduction amount is calculated on the donation amount. Keep the following things in mind: · The deduction on donation amount is limited. It is covered with upper limits in some cases. One such upper limit is 10% of the total amount of adjusted gross total income (AGTI). The AGTI is calculated by deducting the certain items from Gross Total Income: (1) all tax-free incomes (2) income from long term capital profits (3) the deductions of 80C, 80D, 80CCD, 80TTA, etc. except for 80G. · The deduction is applicable for 50% or even 100% of the donation money, as it depends upon the type of activities or the institution which are listed by the Indian Government. KNTX has been offering quality services to its clients regarding tax related issues, accounting, GST, and many others. It has built a trustworthy relationships with its customers and also help them in Income Tax filing in Geeta Colony. Original Source = Claim Deduction on Donations while Filing your Income Tax Returns