Form No. 10BD is a critical compliance requirement under the Income-tax Act, 1961. It serves as a statement of particulars that must be filed by reporting entities that receive donations eligible for tax deductions under Section 80G and Section 35. This article breaks down the form’s requirements to help organizations navigate the filing process professionally and accurately.
1. Purpose and Scope of Form 10BD
The primary purpose of Form 10BD is to report details of donations received by an organization during a specific financial year. This transparency ensures that donors can claim their entitled tax deductions. The form is filed by reporting persons under:
- Section 80G(5)(viii)
- Section 35(1A)(i).
2. Part A: Details of the Reporting Person
The first section of the form focuses on the entity receiving the donation (the “reporting person”). It requires:
- Permanent Account Number (PAN): The entity’s registered PAN must be provided.
- Reporting Period: The specific financial year for which the donations are being reported.
While filing, the address and contact details of the reporting person are generally pre-filled based on their latest Income Tax Return, though there is an option to update this information if it has changed.
3. Part B: Comprehensive Donor Information
Part B is the core of the form, requiring detailed information for every donation received. Key data points include:
- Donor Identification: The name and address of the donor.
- Unique Identification Number: A mandatory ID for the donor must be provided.
- Section Code: The specific section under which the donor is claiming a deduction (e.g., Section 80G or various sub-sections of Section 35).
- Unique Registration Number (URN): The URN issued to the reporting entity and its date of issuance must be recorded.
4. Donor Identification Codes
To ensure accuracy, the form uses specific codes for donor identification. If a PAN or Aadhaar is available, it must be used preferentially. The identification codes are:
- Code 1: PAN
- Code 2: Aadhaar Number
- Code 3: Taxpayer Identification Number (for residents of other countries)
- Code 4: Passport number
- Code 5: Elector’s photo identity number
- Code 6: Driving License number
- Code 7: Ration card number.
5. Classifying the Donation: Type and Mode
The form requires specific classification for each contribution to ensure it is treated correctly for tax purposes.
Donation Types:
- Corpus: Contributions intended for the organization’s endowment.
- Specific Grant: Funds designated for a particular project or purpose.
- Others: General donations.
Modes of Receipt: Donations must be categorized by how they were received:
- Cash
- Kind (Non-monetary contributions)
- Electronic modes (Including account payee cheques or drafts)
- Others.
6. Critical Filing Guidelines
To ensure the filing is valid, reporting entities should keep the following rules in mind:
- Multiple Filings: A reporting person can file Form 10BD multiple times if necessary.
- Separate Entries for Diverse Donations: If a single donor has given multiple donations that fall under different sections (e.g., 80G vs. 35), are of different types, or were sent via different modes, separate rows must be filled for each unique combination.
- Verification: The form must be digitally signed and verified by an authorized person, who declares that all details provided are true and correct to the best of their knowledge.
- Form 10BD is to be filed on or before 31st May of the following financial year
Eg: For FY 2025-26, due date for filing Form 10BD is 31st May 2026.