80G Registration

80G Registration refers to approval granted under Section 80G of the Income Tax Act, 1961, which allows donors to claim tax deduction on donations made to eligible NGOs, Trusts, and Charitable Institutions. This registration plays a vital role in encouraging donations, as it provides financial benefit to donors while strengthening the credibility of the organization.

Only NGOs that are legally registered as a Trust, Society, or Section 8 Company and engaged in genuine charitable activities such as education, healthcare, social welfare, relief of the poor, or public utility services are eligible to apply for 80G Registration. The organization must be non-profit in nature and should not use its income or assets for personal benefit of its members or trustees.

Once 80G Registration is granted, the organization can issue donation receipts to donors, enabling them to claim deductions while filing income tax returns. Depending on the nature of the organization, donors may claim 50% or 100% tax exemption, with or without limits, as prescribed under the Act. This approval significantly improves donor confidence and fund-raising capability.

80G Registration is generally granted for a specific validity period and must be renewed as per income tax rules. Proper maintenance of accounts, filing of income tax returns, and compliance with statutory requirements are mandatory to retain the registration. Overall, 80G Registration is essential for NGOs seeking sustainable funding, transparency, and long-term growth through public and institutional donations.