In a communication, the CBDT (Central Board of Direct Taxes) said that for donations made to the PM-CARES Fund by an employee through his/her employer, a separate certificate under section 80G will not be issued to each employer as a contribution to the fund is in the form of a consolidated payment.
"It is hereby clarified that the deduction in respect of such donations will be admissible u/s 80G of the Act on the basis of the Form 16/certificate issued by Drawing and Disbursing Officer/ Employer in this regard," it said.
The PM-CARES (Prime Minister's Citizen Assistance and Relief in Emergency Situations) Fund was announced by the Prime Minister's Office (PMO) on 28 March with the objective to raise funds to deal with emergencies or distress posed by the coronavirus pandemic.
Donation made towards the dedicated COVID-19 fund qualifies for 100 percent exemption under the Income Tax Act, 1961 and also as Corporate Social Responsibility (CSR) expenditure under the Companies Act, 2013.
The latest clarification will mean that those who are giving up a portion of their salaries directly towards the nation's fight against the pandemic, through their employer, the contribution will be reflected in their respective Form 16 and the TDS certificate would be considered as an evidence of donation. The tax deduction would be allowed to such employees with Form 16 as proof of donation.
If you wish to directly donate to the PM-CARES Fund, you can go to www.pmindia.gov.in website and donate to PM CARES Fund via
- Debit Cards and Credit Cards
- Internet Banking
- UPI (BHIM, PhonePe, Amazon Pay, Google Pay, PayTM, Mobikwik, etc.)
Details on the Fund:
- Name of the Account: PM CARES
- Account Number: 2121PM20202
- IFSC Code: SBIN0000691
- SWIFT Code: SBININBB104
- Name of Bank & Branch: State Bank of India, New Delhi Main Branch
- UPI ID: pmcares@sbi