How Much Can You Deduct for Charitable Donations? Updated Guide for 2025

How Much Can You Deduct for Charitable Donations? Updated Guide for 2025 India has always had this culture of giving. From helping your neighbour during Diwali cleaning to supporting big causes, giving is part of who we are. And, here’s the nice part! You can actually reduce your taxes while doing it. Yes, donations to approved organisations can lower your taxable income. So, you get to help society and manage your finances better. Not bad, right? As FY 2025–26 kicks off, knowing the rules and limits is kind of essential. Otherwise, you might end up missing out on deductions. You might end up scrambling for receipts at the last minute. Understanding Tax Benefits Alright, here’s the gist. Donations fall under Section 80G of the Income Tax Act. But! Not all donations are treated the same. Some donations allow 100% deduction without limit, like contributions to the Prime Minister’s National Relief Fund or the National Defence Fund. Others allow a 50% deduction without limit. Then th...