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News INCOME TAX

  • Jul 05, 2025
  • Made a political donation? Income Tax Dept launches Tax Assist to help you respond to an income tax notice

    Many taxpayers who have claimed deductions under Section 80GGC of the Income Tax Act, 1961, have received income tax notices. The Income Tax Department has enabled a new facility on its portal, allowing taxpayers who have received notices under Section 158BC of the Income Tax Act, 1961 on how to respond to such notices.
    What is Section 80GGC?
    Section 80GGC of Income Tax Act, 1961, allows individual taxpayers to claim deductions for contributions made to political parties or electoral trusts. These deductions encourage transparent political contributions and have specific eligibility criteria, documentation requirements, and deduction limits. Understanding the features and procedures of Section 80GGC helps taxpayers maximize benefits while complying with tax regulations.

    However due to rising instances of fake claim being made, the income tax department has taken this new initiative to curb the misuse of this deduction.