Isn't it so charitable? Donations to trusts, aid funds may be affected

With the new personal tax regime, government officials said there will be fewer incentives for people to contribute to the Prime Minister's National Relief Fund or state initiatives such as the CM Kerala Relief Fund for natural disasters such as floods.

In addition, religious trusts such as the Sri Venkateswara Pranandaana Trust of Tirumala Tirupati Devasthanam, the Pandhurpur Devasthan Trust, the Mata Amritandanamayi Trust and others associated with churches and mosques that benefit from the 80G deduction also expect the interest of donors to decrease. There are also thousands of charities and NGOs that work for childcare, cancer and HIV who benefit from deduction.

While the government wants to increase revenue from available spending in the hands of young salaried professionals, it is not exactly an incentive for anyone to become more charitable, said an official at the Karnataka chief secretary's office.

A trustee of the Sri Venkateswara Pranandaana Trust said the measure will be a buffer. The government should encourage good behavior, such as savings or, he said.

Live plus The MLA Congress and former Karnataka IT Minister Priyank Kharge said the Karnataka CM Relief Fund played a key role in helping those affected by the Kodagu floods over the past two years. In the future, there could be a reduction in the public contribution to these funds, he said.

An NGO based in Bengaluru that works for children said the laws against foreign financing had already entangled their projects, and this could harm them even more. “For some donors, the main incentive is tax exemption. People even discuss with their AC how much they should give, ”said the head of the NGO. The CA says the impact would be difficult to quantify. “It will depend on how people perceive it. There are many genuine people whose main motive is to help others, said Surya Bhatia, CA.

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