Anonymous donations - Definition / Legal Terminology - Income Tax

For the purposes of section 115BBC of Income tax Act 1961- (3) Anonymous Donation means- any voluntary contribution referred to in sub-clause (iia) of clause (24) of section 2 , where a person receiving such contribution does not maintain a record of the identity indicating the name and address of the person making such contribution and such other particulars as may be prescribed. As per CIT (Exemptions), Vs Shree Sai BABA SANSTHAN TRUST 2024 (10) TMI 546 - BOMBAY HIGH COURT ........................The very foundation of the operation and effect of Section 115BBC (2) (b) is a conclusive ascertainment, and a factual determination of a trust being religious and charitable as ascertained from the contents of the trust deed. Once such requirement is satisfied, any anonymous donation received by such trust would be eligible / entitled to the benefit of an exemption from tax, by the applicability of sub-section 2(b) of Section 115BBC. On the other hand, Section 80G certainly lays down quantum test that is the amounts spent for its purposes to ascertain whether the charitable trust is eligible for registration or not, which is clear from the provisions of Section 80G (5B) of the Act.