One hundred per cent deduction for National Fund for Control of Drug Abuse

[Admin TMI]

Question - What are the proposed amendment in section 80G in Finance Bill 2015 ?

[Admin TMI]

One hundred per cent deduction for National Fund for Control of Drug Abuse

Under the existing provisions of section 80G, an assessee is allowed a deduction from his total income in respect of donations made by him to certain funds and charitable institutions. The deduction is allowed at the rate of hundred percent of the amount of donations made to certain funds and institutions formed for a social purpose of national importance, like the Prime Ministers’ National Relief Fund, National Foundation for Communal Harmony etc.

The National Fund for Control of Drug Abuse is a fund created by the Government of India in the year 1989, under the Narcotic Drugs and Psychotropic Substances Act, 1985. Since National Fund for Control of Drug Abuse is also a Fund of national importance, it is proposed amend section 80G so as to provide hundred percent. deduction in respect of donations made to the said National Fund for Control of Drug Abuse.

This amendment will take effect from 1st April, 2016 and will, accordingly, apply in relation to the assessment year 2016-17 and subsequent assessment years.

AI Summary

Proposed Amendment to Finance Bill 2015: 100% Tax Deduction for Donations to National Fund for Drug Abuse Control The discussion addresses a proposed amendment to section 80G of the Finance Bill 2015, allowing a 100% tax deduction for donations to the National Fund for Control of Drug Abuse. This fund, established by the Indian government in 1989 under the Narcotic Drugs and Psychotropic Substances Act, 1985, is recognized as a fund of national importance. The amendment aims to provide full deductions for contributions to this fund, similar to other nationally significant funds, effective from April 1, 2016, applicable for the assessment year 2016-17 and beyond.