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Bank account

VISWANIVAS (Retired Chief Manager PSB) (92 Points)

27 July 2019

I want to celebrate a shasthipoorthi (completion of 60 birthdays) of a prominent local social worker. The function expenditure (apx Rs.20 lacs) will be funded by his followers and friends/relatives from across the Indian/world. How to open a bank account ? If I open in my name or in the name of the beneficiary, these contributions will be treated as gift income.

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2 Replies

rama krishnan (12239 Points)
Replied 28 July 2019

yes of course, it will be treated as gift and charged to tax under IFOS

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Rama chary Rachakonda (Master in Accounts & Lawyer email ID:ramachary64@gmail.com voice no:9989324294) (5138 Points)
Replied 28 July 2019

Stamped receipt: For claiming deduction under Section 80G, a receipt issued by the recipient trust is a must. The receipt must contain the name , address & PAN of the Trust, the name of the donor, the amount donated (please ensure that the amount written in words and figures tally). In case of donation which are eligible for 100% deduction recipient should also insist on form 58 from trust. Form 58 contains the details of project cost (for which the donation is received), amount authorised under this project and the actual amount collected. Without form 58, the claim for 100% deduction could be rejected even if the receipt mentions 100% deduction.