Types of donations eligible for 80g deductions

09/07/25

Blog

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Give and Gain with a Good Cause

Picture this: You come across a story about a child who dreams of becoming a doctor but lacks the resources to continue school. Now, imagine if you could support that child’s education and, at the same time, reduce your taxable income. Sounds like an ideal situation, right? That is exactly what 80G of Income Tax Act allows you to do. When you donate to NGOs, you not only contribute to a meaningful cause but also get a deduction on your taxable income. It is a way to give without feeling a financial pinch.

But how does it work? And what kind of donations qualify? Don’t worry. We are going to break it down in the simplest way, using real-life examples to show how making a donation under 80G benefits both the giver and the receiver.

1. Monetary Donations: The Classic Way to Give

The simplest and most common way to donate is through money. It is quick, hassle-free, and allows NGOs to use the funds where they are needed most—whether it is providing meals, books, or medical aid for children. The best part? Your donation is eligible for tax deductions under 80G of Income Tax Act, helping you save while making a difference.

Let’s take an example. Aditi, a marketing professional, donates ₹10,000 to an NGO that provides nutritious meals to less privileged children. When she files her taxes, she claims a deduction under 80G income tax benefits, reducing her taxable income. This means she contributes to a good cause while also lowering her tax burden. 

And don’t think you need to donate huge amounts to make an impact. Even smaller contributions—like ₹500 a month—can add up to something significant over time. Imagine if 1,000 people donated ₹500 each—that’s ₹5,00,000 towards a child’s education, healthcare, or food security.

So, whether you give a lump sum or set up a monthly donation, every rupee counts. And with a donation under 80G, you also enjoy financial benefits while spreading kindness.

2. Corporate & Payroll Giving: Donate While You Earn

Giving back does not always have to be a separate task—it can be seamlessly integrated into your monthly salary. Many companies encourage their employees to donate under 80G of Income Tax Act by offering payroll giving, wherein a small amount is deducted from their salary and donated to an eligible NGO. It is effortless and consistent and helps employees contribute to a cause they care about.

Take Meera, for example. She opts to donate ₹200 per month from her salary to an NGO focused on child education. By the end of the year, she has contributed ₹2,400, for which she receives a donation tax deduction certificate, lowering her taxable income under 80G income tax benefits. Without even realising it, she has helped fund a child’s schooling for an entire year while enjoying tax savings.

Read Also: How to Claim Tax Deduction on Donations Under Section 80G

Businesses also benefit from their donation under 80G by contributing through their Corporate Social Responsibility (CSR) funds. By supporting child welfare programmes, companies not only create social impact but also enjoy tax advantages. Whether you are an employee or a business owner, corporate giving makes generosity simple and rewarding.

3. Digital Donations: UPI, Credit Cards & More

In the digital age, donating has never been easier. With just a few taps on your phone, you can contribute to an NGO via UPI, credit card, or digital wallet—all while getting an instant receipt for 80G income tax deductions. No paperwork, no waiting—just quick and effective giving!

Imagine Vikram, who’s sipping his morning coffee when he comes across a fundraiser for children’s healthcare. In less than a minute, he donates through a UPI app and immediately receives an 80G of Income Tax Act exemption receipt. His donation is now tax-deductible, and he didn’t even have to leave his couch.

Digital donations are perfect for those who want to contribute on the go. Whether it’s ₹100 or ₹10,000, every contribution is trackable, transparent, and eligible for tax benefits. Plus, it allows NGOs to receive funds instantly, ensuring timely help for those in need. So, if you love convenience and impact, digital giving is the way to go. 

The Impact of Your Giving

At Bal Raksha Bharat, a child welfare NGO, (also known as Save the Children India), we believe every child deserves a fair chance at a better future. Through our programmes in education, nutrition, healthcare, and child protection, we work to uplift less privileged children and ensure they have access to opportunities that can transform their lives.

Your support fuels this mission. With donations under 80G of Income Tax Act, you not only contribute to meaningful change but also enjoy tax benefits. Whether it is sponsoring a child’s education, providing meals, or supporting emergency relief efforts, every rupee you give has the power to change a life.

Join us in creating a world where no child is left behind. Your kindness—big or small—can help build a stronger, healthier, and happier future for children across India. Donate today and be a part of this journey of hope. 

Anikait Suri