Learn about Form No. 10BD for charitable trusts with Section 80G registration. Details, due dates, penalties, and procedures for filing and issuing certificates.
Now, the charitable trust having Section 80G registration will be required to file the list of the Donor. This is required to be filed in Form No. 10BD. This has to be filed in electronic mode. The due date of filing Form No. 10BD is 31st May.
It may be noted that the donee will not be able to get the deduction u/s 80G unless and until the charitable trust file the statement of Donor.
Following details to be filled up in Form No. 10BD is as under:
1. Name of donor.
2. Address of donor.
3. Nature of donation.
4. Mode of receipt.
5. Amount of the donation.
6. Section code under which donation was received.
7. PAN no. /Aadhar no./Tax Identification no. of the donor.
After uploading Form 10BD, Form 10BE is required to be to be download and this Certificate of Donation is to be issued to Donor before 31st May of every year.
Form No. 10BE contains the following details:
1) Name of Charitable Organization.
2) PAN
3) Aadhar
4) Approval number u/s 80G
It may be noted there is a hefty penalty for not filling the form by 31st May. The penalty is in the form of late fee of Rs 200 per day for Delay in uploading Form No. 10BD.
Additionally, the Assessing Officer may also impose a penalty of minimum RS 10,000 to Maximum Rs 1 Lakh.
It may further be noted that multiple form 10BD may be filed by the same reporting person, as per the procedures laid down by the Principal Director General of Income-tax (Systems) or the Director General of Income-tax (Systems), as the case may be.
The address and contact details of the reporting person filing the statement, as per the latest Income Tax Return filed by the reporting person, will be displayed on the screen and if there is a change, the reporting person will be provided an option to change the details.
In section code, the section under which donor is allowed to claim deduction for the donation needs to be filled out of the following options:
| a) | Section 80G | General Donation |
| b) | Section 35(1)(iia) | Scientific Research by a Company |
| c) | Section 35(1)(ii) | Scientific Research by a Research Association |
| d) | Section 35(1)(iii) | Research in Social Science or Statistical Research by a Research |
Association
In “Unique identification number of the donor”, one of the following shall be filled:
If PAN or Aadhaar number is available, one of that should be mandatorily filled and the following ID code shall be filled: Type of Identification Code PAN -1, Aadhaar Number -2
If neither PAN or Aadhaar is available, one of the following should be filled: Type of Identification Code Taxpayer Identification Number of the country where the person resides;
3 -Passport number; 4 -Elector’s photo identity number, 5- Driving License number 6 Ration card number
In “Donation type”, one of the following needs to be selected:
a) Corpus
b) Specific grant
c) Others
In “Mode of receipt”, one of the following needs to be selected:
a) Cash
b) Kind
c) Electronic modes including account payee cheque/draft
d) Others
In case of a donor which has given donations, which are eligible under different sections or which are of different types or in different modes, separate rows should be filled for each such combination.
Author Bio
Kindly refer to the Income-Tax Department’s clarification dated 12.8.2022 in regard to forms 10BD and 10BE, quoted below:
“Dear Taxpayers, It may be noted that statement of donation in Form 10BD and certificate of donation in Form 10BE is only applicable to the fund or institutions approved under sub clause (iv) of clause (a) of sub section (2) of Section 80G i.e Category D – Donation entitled for 50% deduction without qualifying limit. In respect of donations which fall in any other category (excluding category D), the deduction under Section 80G of the Act shall be allowed to an assesse based on the claim made by him in his return of income E.g. Donations made to PMNRF and PM CARES Fund etc.”
I request the learned author to please confirm that this instruction is still valid. Thanks.
Respected Rugram Ji
I am not able to find the clarification quoted by you.
In my opinion
The basic intent of the legislature for introducing the furnishing of a statement of donation is to allow the deduction to the donor under section 80G for the donations it made to the trust or the institution based on the statement filed by the donee. This will cross-check the deduction claimed by the donor under section 80G. Only actual donations given by the donor will be allowed as a deduction and thus the possibility of claiming a fake deduction under section 80G by a taxpayer will be completely eliminated.
Sir, Thank you for your prompt reply. The reference to the scope of information to be submitted on form 10BD is as under. Kindly have a look. Thank you.
https://www.incometax.gov.in/iec/foportal/latest-news?year=2022&page=%2C3&link=6&link=6
Dear Mr. Rugram Ji
Section 80G(4) states that
Where the aggregate of the sums referred to in sub-clauses (iv), (v), (vi), (via) and (vii) of clause (a) and in clauses (b) and (c) of sub-section (2) exceeds ten per cent of the 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), then the amount in excess of ten per cent of the 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).
It means sub-clause (iv) of Section 80G(2)(a) is a donation entitled for 50% with qualifying limit.
Further Section 80G(5) applies to donations to any institution or fund referred to in sub-clause (iv) of clause (a) of sub-section (2), only if it is established in India for a charitable purpose and as per sub clause (viii) of Section 80G(5) the trust / institute requires to file Form 10BD.
And therefore in my opinion Form 10BD needs to be filed by all the trust / institutes covered U/s 80G(2)(a)(iv) and these trust gives 50% deduction with qualifying limit.
Thank you sir, for your opinion.
If trust having none of the doner has given PAN number or not willing to give his PAN number then is it compulsory to file 10BD form? All donations are like this?
In my opinion
The basic intent of the legislature for introducing the furnishing of a statement of donation is to allow the deduction to the donor under section 80G for the donations it made to the trust or the institution based on the statement filed by the donor. This will cross-check the deduction claimed by the donor under section 80G. Only actual donations given by the donor will be allowed as a deduction and thus the possibility of claiming a fake deduction under section 80G by a taxpayer will be completely eliminated.
An organization must try to report all the donations it has received from all the donors rather than skip some of the donations. It will help the organization in future to address any scrutiny by the income-tax department
Further you must keep in mind Section 115BBC which may get attracted in certain cases