If you have received a notice under Section 158BC related to your 80GGC claim, follow these steps:
1. Log in to the Income Tax Portal
Visit the official Income Tax Portal and access the e-Proceeding tab.
2. Submit Form ITR-B
File the required response by submitting Form ITR-B along with necessary details.
Genuine Claim? Here’s What You Should Do
If your political donation is genuine, and you possess the required documents, there is no reason to worry. Simply:
✅ Reply to the notice with valid donation receipts.
✅ Keep payment proofs like bank statements or transaction details handy.
✅ Ensure the political party you donated to is registered under relevant laws.
Incorrect Claim or No Supporting Documents? Here’s How to Rectify
If you have:
❌ Claimed the deduction incorrectly, or
❌ Lack supporting documents,
You should consider filing an Updated Income Tax Return (ITR-U) under Section 139(8A) to withdraw your deduction claim and pay any applicable tax and interest.
Practical Issue with ITR-U for Past Years
Currently, ITR-U filing is only enabled for AY 2023-24 and AY 2024-25. Though the Finance Act, 2025 has extended the facility to AY 2021-22 and AY 2022-23, the option is not yet available on the income tax portal. The portal has assured that the facility for these assessment years will be available soon.
Can You Voluntarily Withdraw 80GGC Deduction Claim?
Yes, taxpayers can voluntarily withdraw their claim under Section 80GGC by filing an Updated Return under Section 139(8A) and paying the applicable tax. It is advisable to complete this process within 7 days of receiving the notice to avoid further complications.
What Happens If You Ignore the Income Tax Notice?
Ignoring such a notice can lead to:
⚠️ Heavy penalties,
⚠️ Scrutiny or investigation,
⚠️ Proceedings for incorrect claims,
⚠️ Penalties of up to 200% of the tax amount sought to be evaded.
Conclusion
The Income Tax Department’s TAXASSIST initiative is a step towards promoting transparency and voluntary compliance. If you’ve made a political donation and claimed a deduction under Section 80GGC, ensure your claim is accurate and well-documented. Ignoring tax notices or making false claims can result in severe penalties.
Stay vigilant, comply with tax regulations, and use the available online facilities to resolve any notices efficiently.