ITR 80G Tax Deduction Rules: Those claiming tax exemption on donations beware! This time you will have to give this secret code and transaction number of the bank in the ITR form.


If you also claim tax exemption under Section 80G in the Income Tax Return (ITR) by donating to social service or religious institutions, then this time you will have to be more cautious than before. The Income Tax Department has made a major change in the new ITR form issued for the assessment year 2026-27 (AY 2026-27). Now it has been made mandatory for taxpayers to provide additional and highly accurate financial information to avail exemption under 80G. The main objective of this stringent step is to digitally cross-verify donation claims and completely stop tax evasion through fake claims.

Now mere receipt is not enough; IFSC code and transaction number will have to be given.

According to the new rules, now it will not be enough to just write in the ITR form how much amount you have donated to which organization. If you have made any donation through digital means through UPI, Net Banking (NEFT/RTGS/IMPS) or cheque, you will have to declare that payment while filing ITR. Transaction Reference Number And the name of the bank account from which the money has been deducted. IFSC code May also have to be entered. This means that the Income Tax Department will now be able to directly check the entire digital trail of the donated amount along with your bank statement.

Changes in forms from ITR-1 to ITR-4

The Income Tax Department has added this new disclosure clause in all the major ITR forms through which taxpayers claim Section 80G. These include for employed people ITR-1For those with capital gains and other income ITR-2For business and professionals ITR-3 And for those with presumptive income ITR-4 Are included. Its format may vary slightly according to the layout of different forms, but the main information required will remain exactly the same in all.

Why did the government have to take this strict step?

According to tax experts, the Income Tax Department is now using Artificial Intelligence (AI) and advanced data analytics extensively for scrutiny of returns. The department has a complete backup of the data you receive from banks and other financial institutions. In such a situation, if any taxpayer fills wrong, incomplete or fake information in ITR, then the AI ​​system will catch it immediately. This will not only stop the processing of your return, but your tax exemption claim will also be rejected outright and you may receive a penalty notice.

Keep these 5 documents handy before filing ITR

If you want to avail full refund and benefit of 80G without any hassle, then keep these documents with you before filling the online form:

  • Official issued by the concerned institution Donation Receipt.

  • of the relevant financial year Bank statement Or passbook.

  • of digital payment transaction reference number.

  • right of your bank IFSC code.

  • of the organization PAN number And check whether that institution is registered with the Income Tax Department under Section 80G or not.

Don’t make these mistakes even by mistake, otherwise your refund will be stuck.

Tax experts say that a little carelessness can prove costly for you. While filling ITR, never write figures based on guesswork or estimate. Entering the wrong transaction number, manipulating the donation date or amount, or claiming in the name of an organization that is not eligible for 80G can land you in trouble. In this new era of digital verification, providing correct and accurate information is the only way to avoid notices and additional inquiries from the Income Tax Department.