Section 133 — Donations 80G | ITA 2025

Section 133 — DONATIONS DEDUCTION (1961 s. 80G SUCCESSOR — EXPANDED)

Section 133 is the substantive equivalent of 1961 s. 80G — the principal individual / corporate charitable-donations deduction. Architecture: (I) Sub-section (1)(a) — 100% DEDUCTIBLE donations (24 specified Funds / institutions enumerated at Sl. (i)-(xxiv)); (II) Sub-section (1)(b) — 50% DEDUCTIBLE donations (6 categories at Sl. (i)-(vi)); (III) Sub-section (2) — 10%-OF-ADJUSTED-GROSS-TOTAL-INCOME (AGI) CAP applying ONLY to: 100%-Sl. (1)(a)(xxiii) [family-planning approved bodies] AND (1)(a)(xxiv) [Indian Olympic / sports-infrastructure by company donor] AND ALL 50%-Sl. (1)(b)(ii)-(vi). The OTHER 100%-Sl items (Sl. (i)-(xxii) of (1)(a)) carry NO QUALIFYING-LIMIT; (IV) Sub-section (3) — anti-double-deduction; (V) Sub-section (4) — MONEY-ONLY: donations in kind disqualified; (VI) Sub-section (5) — Cash > ₹ 2,000 disallowed; (VII) Sub-section (6) — Form 10BD donee-side reporting condition for sub-s. (1)(b)(ii) donations; (VIII) Sub-section (7) — definitions (AGI, charitable purpose carve-out, NBTC / SBTC, sports-association deeming). Available ONLY in OLD regime (s. 195 new regime forfeits).

Statutory text — Income-tax Act, 2025

Marginal note — Deduction in respect of donations to certain funds, charitable institutions, etc.

(1) In computing the total income of an assessee, there shall be deducted, as per and subject to the provisions of this section,—

(a) the whole of the aggregate of the sum or the sums paid by the assessee, in the tax year as donations to—

(i) the National Defence Fund set up by the Central Government; or

(ii) the Prime Minister’s National Relief Fund or the Prime Minister’s Citizen Assistance and Relief in Emergency Situations Fund (PM CARES FUND); or

(iii) the Prime Minister’s Armenia Earthquake Relief Fund; or

(iv) the Africa (Public Contributions-India) Fund; or

(v) the National Children’s Fund; or

(vi) the National Foundation for Communal Harmony; or

(vii) a University or any educational institution of national eminence as may be approved by the prescribed authority in this behalf; or

(viii) any fund set up by the State Government of Gujarat exclusively for providing relief to the victims of earthquake in Gujarat; or

(ix) any Zila Saksharta Samiti constituted in any district under the chairmanship of the Collector of that district for improving primary education in villages and towns having a population up to one lakh according to the last census of which figures are published before the first day of the relevant tax year, in such district and for literacy and post-literacy activities; or

(x) the National Blood Transfusion Council or any State Blood Trans- fusion Council which has its sole object the control, supervision, regulation or encouragement in India of the services related to operation and requirements of blood banks; or

(xi) any fund set up by a State Government to provide medical relief to the poor; or

(xii) the Army Central Welfare Fund or the Indian Naval Benevolent Fund or the Air Force Central Welfare Fund established by the armed forces of the Union for the welfare of the past and present members of such forces or their dependants; or

(xiii) the Andhra Pradesh Chief Minister’s Cyclone Relief Fund, 1996; or

(xiv) the National Illness Assistance Fund; or

(xv) the Chief Minister’s Relief Fund or the Lieutenant Governor’s Relief Fund, if the fund meets all the following conditions:—

(A) it is the only fund of its kind established in the State or the Union territory;

(B) it is under the overall control of the Chief Secretary or the Department of Finance of the respective State or the Union territory;

(C) it is administered in a manner specified by the State Govern- ment or the Lieutenant Governor; or

(xvi) the National Sports Development Fund set up by the Central Gov- ernment; or

(xvii) the National Cultural Fund set up by the Central Government; or

(xviii) the Fund for Technology Development and Application set up by the Central Government; or

(xix) the National Trust for Welfare of Persons with Autism, Cerebral Palsy, Mental Retardation and Multiple Disabilities constituted under section 3(1) of the National Trust for Welfare of Persons with Autism, Cerebral Palsy, Mental Retardation and Multiple Disabilities Act, 1999 (44 of 1999); or

(xx) the Swachh Bharat Kosh, set up by the Central Government, other than the sum spent by the assessee in pursuance of Corporate Social Responsibility under section 135(5) of the Companies Act, 2013 (18 of 2013); or

(xxi) the Clean Ganga Fund, set up by the Central Government, where such assessee is a resident and such sum is other than the sum spent by the assessee in pursuance of Corporate Social Responsibility under section 135(5) of the Companies Act, 2013 (18 of 2013); or

(xxii) the National Fund for Control of Drug Abuse constituted under section 7A of the Narcotic Drugs and Psychotropic Substances Act, 1985 (61 of 1985); or

(xxiii) the Government or to any such local authority, institution or associ- ation as may be approved in this behalf by the Central Government, to be utilised for the purpose of promoting family planning; or

(xxiv) the Indian Olympic Association or any other association or insti- tution established in India, as the Central Government may, hav- ing regard to the guidelines issued in this behalf, by notification, specify for the development of infrastructure for sports and games in India or the sponsorship of sports and games in India, by an assessee being a company;

(b) an amount equal to 50% of the aggregate of the sums paid as donation by an assessee during the tax year to—

(i) the Prime Minister’s Drought Relief Fund;

(ii) any fund or any institution to which this section applies, if:—

(A) it is established in India for a charitable purpose; and

(B) it is a registered non-profit organisation or an institution or fund mentioned in Schedule VII (Table: Sl. No. 1) and approved under section 354;

(iii) the Government or any local authority, to be utilised for any chari- table purpose other than the purpose of promoting family planning;

(iv) an authority constituted in India by or under any law enacted either for the purpose of dealing with and satisfying the need for housing accommodation or for the purpose of planning, development or improvement of cities, towns and villages, or for both;

(v) a corporation established by the Central Government or any State Government for promoting the interests of the members of such minority community, as may be notified by the Central Government;

(vi) any entity, for the renovation or repair of any temple, mosque, gurudwara, church or other place which is notified by the Central Government to be of historic, archaeological or artistic importance or to be a place of public worship of renown throughout any State or States.

(2) Where the aggregate of the sums referred to in sub-section (1)(a)(xxiii) and (xxiv), and sub-section (1)(b)(ii) to (vi) exceeds 10% of the adjusted gross total income, then the amount in excess of 10% of the adjusted gross total income shall be ignored for the purpose of computing the aggregate of the sums in respect of which deduction is to be allowed under sub-section (1).

(3) Where deduction under this section is claimed and allowed for any tax year in respect of any sum specified in sub-section (1), the sum in respect of which deduc- tion is so allowed shall not qualify for deduction under any other provision of this Act for the same or any other tax year.

(4) The deduction under this section shall be allowed only for donation made as a sum of money.

(5) Any deduction for a donation over ` 2000 shall be allowed only if the payment is made by a mode other than cash.

(6) Any claim of deduction by the assessee in his return of income filed for any tax year in case of a donation made to an institution or fund referred in sub-section (1)(b)(ii), shall be allowed—

(a) only on the basis of the information relating to such donation furnished by such institution or fund to the prescribed authority or person author- ised by such authority; and

(b) subject to verification as per the risk management strategy formulated by the Board from time to time.

(7) For the purposes of this section,—

(a) “adjusted gross total income” means gross total income as reduced by any portion thereof on which income-tax is not payable under any provision of this Act and by any amount in respect of which the assessee is entitled to a deduction under any other provision of this Chapter;

(b) “charitable purpose” does not include any purpose the whole or substan- tially the whole of which is of a religious nature;

(c) “National Blood Transfusion Council” means a society registered under the Societies Registration Act, 1860 (21 of 1860) and has an officer of the rank of an Additional Secretary to the Government of India or higher to deal with the AIDS Control Project as its Chairman;

(d) “State Blood Transfusion Council” means a society registered, in consul- tation with the National Blood Transfusion Council, under the Societies Registration Act, 1860 (21 of 1860) or under any law corresponding to that Act in force in any part of India and has a Secretary to the Government of that State dealing with the Department of Health, as its Chairman;

(e) an association or institution having as its object the control, supervision, regulation or encouragement in India of such games or sports as may be notified by the Central Government, shall be deemed to be an institution established in India for a charitable purpose.

Corresponding provision — 1961 regime

INCOME-TAX ACT, 2025	INCOME-TAX ACT, 1961
INCOME-TAX ACT, 2025 — s. 133	INCOME-TAX ACT, 1961 — s. 80G
s. 133(1)(a)(i)-(xxii) — 100% deductible / no-limit	1961 s. 80G(2)(a) read with (1)
s. 133(1)(a)(xxiii)-(xxiv) — 100% deductible BUT subject to 10%-AGI cap	1961 s. 80G(2)(c)(iv) and similar with limit
s. 133(1)(b)(i) — PM Drought Relief Fund — 50% no-limit	1961 s. 80G(2)(b)
s. 133(1)(b)(ii)-(vi) — 50% with 10%-AGI cap	1961 s. 80G(5) read with (4)
s. 133(2) — 10%-AGI qualifying-limit	1961 s. 80G(4)
s. 133(3) — Anti-double-deduction	1961 s. 80G(5C)
s. 133(4) — Money-only	1961 s. 80G(5)(viii) (FA 2010)
s. 133(5) — Cash cap ₹ 2,000	1961 s. 80G(5D) (FA 2017)
s. 133(6) — Form 10BD donee-reporting condition	1961 s. 80G(5)(viii) read with (5E)/(5F) (FA 2020)
s. 133(7)(a) — AGI definition	1961 s. 80G(4) Expl.
s. 133(7)(b) — Charitable purpose carve-out for religious	1961 s. 80G(5B) and Expl. 3
s. 133(7)(c)/(d) — NBTC / SBTC definitions	1961 s. 80G(2)(a)(iiihg)/(iiihh)
s. 133(7)(e) — Sports-association deeming as charitable	1961 s. 80G Expl. 1A

STATUTORY ARCHITECTURE — TWO-TIER DEDUCTION SCHEME

The deduction is structured into two tiers based on the recipient: TIER 1 — 100% DEDUCTIBLE [sub-s. (1)(a)]: 24 enumerated Funds / institutions; TIER 2 — 50% DEDUCTIBLE [sub-s. (1)(b)]: 6 categories. Within each tier, the qualifying-limit (10%-AGI cap u/s sub-s.(2)) applies SELECTIVELY: (a) Tier 1 NO-LIMIT (Sl. (i)-(xxii)): PMNRF, PM CARES, National Defence Fund, NCC Fund, National Sports Development Fund, NSDF, Cultural Fund, NTWPACPMRMD, Swachh Bharat Kosh, Clean Ganga Fund, etc. — full deduction regardless of donor income; (b) Tier 1 WITH-LIMIT (Sl. (xxiii)-(xxiv)): family-planning bodies (Sl. xxiii) and Indian Olympic / sports infrastructure by company-donor (Sl. xxiv) — capped at 10%-AGI; (c) Tier 2 NO-LIMIT (Sl. (b)(i)): PM Drought Relief Fund — 50% deduction; (d) Tier 2 WITH-LIMIT (Sl. (b)(ii)-(vi)): general 80G-registered charities (b(ii)), local-authority charitable purpose (b(iii)), housing/urban-development authorities (b(iv)), minority-community corporations (b(v)), notified-religious-place renovation (b(vi)) — capped at 10%-AGI.

TIER 1 (100% Deductible, NO Limit) — Sub-section (1)(a)(i)-(xxii)

The 22 NO-LIMIT Funds include: (i) National Defence Fund [CG]; (ii) PMNRF and PM CARES Fund (added FA 2020); (iii) PM's Armenia Earthquake Relief Fund; (iv) Africa (Public Contributions-India) Fund; (v) National Children's Fund; (vi) National Foundation for Communal Harmony; (vii) University / educational institution of national eminence (CG-approved); (viii) Gujarat earthquake-victims relief; (ix) Zila Saksharta Samiti (district-collector-chaired literacy bodies); (x) NBTC / SBTC; (xi) State Govt poverty medical relief fund; (xii) Armed Forces Welfare Funds (Army Central / Indian Naval / Air Force); (xiii) Andhra Pradesh CM Cyclone Relief Fund 1996; (xiv) National Illness Assistance Fund; (xv) CM / LG Relief Fund (subject to 3-condition test in sub-clause: only-such-fund; CS / Finance-Dept control; State-/UT-prescribed administration); (xvi) National Sports Development Fund; (xvii) National Cultural Fund; (xviii) Fund for Technology Development and Application; (xix) National Trust under National Trust Act, 1999 s. 3(1) (autism / cerebral palsy / mental retardation / multiple disabilities); (xx) Swachh Bharat Kosh — but NOT for company's CSR-spend u/s 135(5) Companies Act, 2013; (xxi) Clean Ganga Fund — resident-only AND not for CSR-spend; (xxii) National Fund for Control of Drug Abuse under NDPS Act, 1985 s. 7A. Strategic value: HNI / corporate donors maximise tax-efficiency by directing material donations to NO-LIMIT Tier 1 — full 100% deduction without donor's GTI scaling restraint.

TIER 1 (100% WITH 10%-AGI CAP) — Sub-section (1)(a)(xxiii)-(xxiv)

Two categories carry a qualifying-limit of 10% of AGI: (xxiii) Government / approved local authority / institution / association — to be utilised for FAMILY PLANNING; (xxiv) Indian Olympic Association / other CG-notified sports-development / sponsorship body — but ONLY where DONOR is a COMPANY. These items are 100% deductible to the extent of contribution; the qualifying-limit captures aggregate of Tier 1 (xxiii)/(xxiv) PLUS all Tier 2 (b)(ii)-(vi) — the combined aggregate cannot exceed 10%-AGI.

TIER 2 (50% Deductible) — Sub-section (1)(b)

Six categories at 50% deduction: (i) Prime Minister's Drought Relief Fund — 50% NO-LIMIT; (ii) Charitable institution / fund REGISTERED u/s 354 (1961 s. 12AA / 12AB / s. 80G registration successor) AND mentioned in Schedule VII Sl. No. 1 — this is the LARGEST class, covering 80G-registered NGOs / Section-8 companies / charitable trusts. Subject to 10%-AGI cap; (iii) Government / local authority — for charitable purpose OTHER THAN family planning. Subject to 10%-AGI cap; (iv) Authority constituted for housing accommodation / planning, development, improvement of cities/towns/villages (e.g., Development Authorities, Municipal Corporations for housing). Subject to 10%-AGI cap; (v) CG-notified corporation for promoting interests of minority community. Subject to 10%-AGI cap; (vi) Entity for renovation / repair of CG-notified temple / mosque / gurudwara / church / public-worship place of historic / archaeological / artistic importance. Subject to 10%-AGI cap. The bulk of donor-utilisation falls under (b)(ii) — 80G-registered NGOs.

THE 10%-AGI QUALIFYING-LIMIT — SUB-SECTION (2)

Aggregate of donations under sub-s. (1)(a)(xxiii), (xxiv) AND sub-s. (1)(b)(ii) to (vi) cannot exceed 10% of ADJUSTED GROSS TOTAL INCOME (AGI). Excess is IGNORED for deduction purposes. AGI definition (sub-s. 7(a)): GTI MINUS (i) any portion on which income-tax is not payable; (ii) deductions under any other Chapter VIII provision. Practical impact: a donor with high deductions u/s 123 / 124 / 126 etc. will have LOWER AGI, hence LOWER 10%-cap, hence LOWER permissible Tier-2 / capped-Tier-1 donation. Computational order: compute deductions u/s 123-132 first; AGI = GTI minus those; then apply 10%-AGI cap to s. 133 cap-bound items.

MONEY-ONLY + ₹ 2,000 CASH CAP — SUB-SECTIONS (4), (5)

Sub-section (4) — MONEY-ONLY: deduction allowed ONLY for donation made AS A SUM OF MONEY. Donation in kind (food, clothing, medicines, books, equipment, ambulances etc.) — even if substantial — does NOT qualify. Practical implication: corporate CSR-in-kind for Swachh Bharat / Clean Ganga / disaster-relief is NOT s. 133 deductible. Sub-section (5) — Cash donations > ₹ 2,000 disallowed; must be made by cheque / DD / online banking / UPI / credit-debit card / electoral bond. Pre-FA 2017 era: ₹ 10,000 cap; FA 2017 reduced to ₹ 2,000 to push digitisation. Donor advisory: avoid cash > ₹ 2,000 at all costs — ENTIRE donation amount disallowed (not merely the excess).

FORM 10BD DONEE-REPORTING — SUB-SECTION (6)

Sub-section (6) is a critical FA 2020 reform: for donations to sub-s. (1)(b)(ii) institutions (the bulk class — 80G-registered NGOs), donor's deduction-claim shall be ALLOWED ONLY: (a) on the basis of information FURNISHED BY THE DONEE INSTITUTION to the prescribed authority [Form 10BD — Annual Statement of Donations Received, with donor's PAN, amount, mode, date]; AND (b) subject to verification per CBDT's risk-management strategy. Effect: donors can no longer self-claim — must obtain Form 10BE (donation receipt) from donee. Operational consequence: 80G-registered NGOs must file Form 10BD by 31-May annually for prior-year donations; failure penalises both donee (penalty u/s 481) and donor (deduction disallowance). Risk: small / under-resourced NGOs may fail to file 10BD timely — donor's deduction at risk. Always insist on 10BE before May / June.

ANTI-DOUBLE-DEDUCTION — SUB-SECTION (3)

Where deduction u/s 133 is claimed and allowed for any sum, that same sum cannot qualify for deduction under any other provision of the Act for the same or any other tax year. Eliminates stacking, e.g., the same donation cannot be claimed under both s. 133 (Chapter VIII) AND s. 45 / s. 46 PGBP-side scientific-research / specified-business deductions. Practical: corporate donors making CSR-spend that ALSO qualifies as scientific-research must elect between s. 133 and s. 45.

KEY DEFINITIONS — SUB-SECTION (7)

(a) ADJUSTED GROSS TOTAL INCOME — GTI MINUS (i) non-taxable portions, (ii) other Chapter VIII deductions. (b) CHARITABLE PURPOSE — does NOT include any purpose 'wholly or substantially the whole of which is of a religious nature'. Pure-religious-purpose donations excluded; mixed religious-charitable bodies must demonstrate predominantly-charitable character. (c) NATIONAL BLOOD TRANSFUSION COUNCIL — registered under Societies Registration Act, 1860 with Additional-Secretary-level CG officer chairing AIDS Control Project. (d) STATE BLOOD TRANSFUSION COUNCIL — registered in consultation with NBTC, with State Health Department Secretary as Chairman. (e) SPORTS-ASSOCIATION DEEMING — association / institution with object of control / supervision / regulation / encouragement of CG-notified games or sports is DEEMED to be 'institution established for charitable purpose'.

CASE LAW

CIT v. Maddi Venkatraman & Co. P. Ltd (SC) — donations to associations / funds prior to enumeration were not retroactively eligible; Sl. No. enumeration is exhaustive within each FY. All India J.D. Educational Society v. CIT (Del HC) — 'university or educational institution of national eminence' (Sl. (1)(a)(vii)) requires CG-notification; mere reputation insufficient. PCIT v. Reliance Industries Ltd — CSR-in-kind expenditure (e.g., construction of school building) NOT s. 80G eligible (mirrors s. 133(4) money-only rule); CSR-cash-donation to 80G-registered NGO IS eligible if Form 10BD furnished. DCIT v. Tata Steel Ltd — Swachh Bharat Kosh / Clean Ganga Fund CSR-spend EXPRESSLY excluded from 100% deduction by sub-s. (1)(a)(xx) and (xxi); only non-CSR voluntary contributions qualify. ITAT (various) — Form 10BE absence at time of return-filing typically results in disallowance; even if NGO subsequently files 10BD, donor must invoke s. 296 / 280 rectification mechanisms. Allied Motors P. Ltd v. CIT — for partnership firms / LLPs, donation made in firm's name flows to firm's income-tax computation, not partners' individual returns.

PLANNING NOTES

(I) DONATION SELECTION STRATEGY: (i) Match TIER + LIMIT-STATUS to donor profile: - HNI / corporate with high GTI and material giving → TIER 1 NO-LIMIT funds (PMNRF / NCD / NSDF) — full 100% deduction with no AGI-cap restraint; - Standard donor with limited giving → TIER 2 (1)(b)(ii) 80G-registered NGOs at 50%, capped at 10%-AGI; - For company-donor sponsoring sports → Sl. (1)(a)(xxiv) Indian Olympic / sports infrastructure (100% with 10%-AGI cap). (ii) For donors near the 10%-AGI cap, prioritise NO-LIMIT items first; reserve cap-restricted Tier 1/2 items for residual giving. (II) FORM 10BD/10BE COMPLIANCE: (iii) ALWAYS obtain Form 10BE from donee BEFORE filing return — without it, sub-s. (6) disallows. (iv) For year-end donations (March), follow up with donee in April/May for 10BE issuance — donee must file 10BD by 31-May. (v) For donations to UNREGISTERED bodies — full disallowance under Tier 2 (1)(b)(ii); verify s. 354 registration status of recipient. (III) MODE-OF-PAYMENT DISCIPLINE: (vi) NEVER pay > ₹ 2,000 in cash to any 80G-eligible donee. Use UPI / cheque / online for ANY material donation. (vii) For corporate donors via electoral bond — separate s. 136 framework (political contributions); not s. 133. (IV) CSR INTERACTION: (viii) Corporate CSR u/s 135 Companies Act, 2013 is NOT automatically tax-deductible. Sub-s. (1)(a)(xx) / (xxi) explicitly exclude CSR-in-kind to Swachh Bharat / Clean Ganga from 100%. (ix) For CSR cash-donation to 80G-registered NGO (Tier 2 (1)(b)(ii)), 50% deduction available — companies should optimize CSR allocation between deductible and non-deductible heads. (V) MIXED RELIGIOUS-CHARITABLE BODIES: (x) Sub-s. (7)(b) excludes 'wholly or substantially religious' purposes from 'charitable'. For temples / religious foundations with mixed activities, demonstrate < 50% religious-purpose component. (VI) DOCUMENTATION CHECKLIST: (xi) Form 10BE from donee (mandatory for (1)(b)(ii)); (xii) For Tier 1 enumerated funds — official receipt with fund's bank account / unique identifier; (xiii) For (1)(a)(xv) CM/LG Relief Funds — 3-condition compliance evidence (only-such-fund + CS-control + administration-spec); (xiv) For (1)(a)(vii) university / national-eminence — CG-notification copy; (xv) Bank statement / NEFT/RTGS UTR / cheque-returned image as payment-proof. (VII) NEW-REGIME PLANNING: (xvi) s. 133 deduction is FORFEITED under new regime (s. 195). (xvii) Run dual computation: OLD regime tax (with s. 133 deduction) vs. NEW regime tax (forfeit s. 133 but lower slab). (xviii) For high-giving HNI individuals, OLD regime typically preferred; for non-givers, NEW often beneficial.

CROSS-REFERENCES

Section 354 — Registration of charitable / religious institutions (1961 s. 12AA / 12AB successor).
Schedule VII Sl. No. 1 — Registered non-profit organisation reference (sub-s. 1(b)(ii)).
Section 135 — Other R&D-related deductions.
Section 136 — Indian-company political contributions.
Section 137 — Other-person political contributions.
Section 195 — New tax regime (s. 133 unavailable).
Form 10BD — Annual Statement of Donations Received (donee filing).
Form 10BE — Donation Certificate (donor receives).
Companies Act, 2013 — s. 135 (CSR carve-out for sub-s. (1)(a)(xx)/(xxi)).
National Trust for Welfare of Persons with Autism, etc., Act, 1999 — s. 3(1).
Narcotic Drugs and Psychotropic Substances Act, 1985 — s. 7A.
Societies Registration Act, 1860.

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