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Contributions given by any Person to Political Parties – Section 80GGC

U.C Date : 25 Feb 2015

The amount paid by any person to any political party or electoral trust is allowed as deduction.

The amount paid in respect of advertisement in any publication (souvenir, brochure, trace, phamplet) is not allowed under this section and also not under section 37.

Deduction is not allowed when payment is made by a local authority or artificial judicial person, wholly or partly funded by Government.

Political party means a political party registered under section 29A of the Representation of the People Act, 1951.

Bare Act for Sec 80GGC

Bare Act for Sec 80GGC

In computing the total income of an assessee, being any person, except local authority and every artificial juridical person wholly or partly funded by the Government, there shall be deducted any amount of contribution made by him, in the previous year, to a political party [or an electoral trust].

The following proviso shall be inserted before the Explanation to section 80GGC by the Finance Act, 2013, w.e.f. 1-4-2014 :

Provided that no deduction shall be allowed under this section in respect of any sum contributed by way of cash.

Explanation.—For the purposes of sections 80GGB and 80GGC, “political party” means a political party registered under section 29A of the Representation of the People Act, 1951 (43 of 1951).]

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