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Understanding FCRA and tax benefits

Everything donors need to know about 80G exemptions and foreign contribution rules.

CA Nikhil Bansal 8 min readPublished 3 August 2025

Section 80G of the Income Tax Act lets individual donors claim deductions on donations to eligible non-profits. Here's what actually applies in 2025.

Who qualifies

Only NGOs with a valid 80G certificate registered under the new e-registration regime post-2021.

Deduction rates

Most NGOs qualify for a 50% deduction of the donated amount, subject to a 10%-of-gross-income cap. Certain government funds qualify for 100% without a cap.

Receipts

You need a stamped receipt with the NGO's PAN, 80G reference number, and the donor's PAN. Anudaan issues a consolidated 80G receipt covering donations across all partner NGOs.

FCRA rules

If you're an NRI or donating in foreign currency, the receiving NGO must hold an FCRA registration. Anudaan filters non-FCRA NGOs out of foreign-currency flows automatically.

NGOs featured in this article

Reforesting the Western Ghats, one native sapling at a time.

Pune, Maharashtra

First responders across Assam's annual flood belt.

Guwahati, Assam

Contribute to a cause from this article

Both causes below issue an 80G receipt through Anudaan Foundation the moment you give.

Reforest the Western Ghats corridor with native species

Wayanad, Kerala · Environment

₹3,15,000 raised · 63% funded

Contribute
Emergency flood relief and dry ration supply in Assam

Kamrup, Assam · Disaster Relief

₹14,20,000 raised · 79% funded

Contribute

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