on the amount of donation, in some cases, there is a cap on the eligible amount, which is a maximum of 10% of the gross total income of the individual taxpayer.
Also, deduction under Section 80G cannot exceed your taxable income. A taxpayer can claim 100% deduction without any qualifying limit if the donation is made to the Prime Minister’s National Relief Fund. One can even avail 100% deduction for donations made to an approved institution for promoting family planning. In case of donations to Indira Gandhi Memorial Trust, an individual can claim 50% deduction without any qualifying limit.
Employees can claim deduction under Section 80G, provided a certificate from the employer is received in which the latter states the fact that the contribution was made out from the former’s salary account. Even NRI’s can claim tax benefits against a donation, provided it is made to eligible institutions.