Donations to Ramdev's Patanjali Trust to Be Tax-Deductible for 5 Years

This has come as Patanjali Research Foundation Trust has been notified as an approved research association.

Patanjali Ayurved founders Swami Ramdev and Acharya Bal Krishna display the company's products at its annual press conference.

(Photo: PTI)

The Central Board of Direct Taxes (CBDT) has granted a 5-year tax exemption period on donations made to Ramdev's Patanjali Research Foundation Trust.

As per a CBDT notification, all businesses making donation to the Trust during 2021-22 to 2026-27 can claim a tax deduction on such contributions.

It stated, "... the Central Government hereby approves M/s Patanjali Research Foundation Trust, Haridwar under the category "Research Association" for Scientific Research for the purposes of clauses (ii) of sub-section (1) of section 35 of the Income-tax Act, 1961."

The applicability of the notification will stand for Assessment Year(s) 2022-23 to 2027-28.

A per Section 35 of the Income Tax Act, a business firm paying any amount for scientific research to an 'approved research association' shall be eligible to claim the said amount as a deduction from its income, reducing the tax to be paid.