 "cash, currency, notes, funds, investment, shares, growth, profit, loss, tax, money, income, earnings")
The income-tax (I-T) department has issued around 8,000 notices to salaried employees, self-employed individuals, and companies who made significant donations to charitable trusts. The department suspects potential tax evasion, as records of these donations do not correspond with the income and expenses of those making them.
Sandeep Bajaj, managing partner, PSL Advocates & Solicitors, says, “Notices were issued for donations made during the assessment years of 2017-18 through 2020-21.”
Section 80G of the I-T Act allows deductions from income for donations made to certain funds and charitable institutions.
Bajaj warns that some taxpayers take advantage of this provision by making
