IT relief for donations from salaries

NEW DELHI, FEB. 12. The Government today said donations from salaries to trusts or institutions carrying out relief operations in the earthquake-affected areas of Gujarat, would be fully exempted from Income Tax in the current fiscal.

The Central Board of Direct Taxes (CBDT) said in cases where donations were being deducted out of the salaries payable to employees, for making consolidated donations to any trust, institution or fund, for providing relief to the people of Gujarat, 100 per cent deduction would be allowed during the current fiscal.

Employees must ensure that payment of consolidated donations deducted out of salaries of employees is made latest by April 15, 2001, the CBDT said in a release.

The Government had earlier decided to impose a two per cent surcharge on both resident and non-resident tax assessees. The revised rate of surcharge for residents comes to around 12 per cent while it is 17 per cent for NRIs.

- PTI

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Section  : National
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