Prashant Kishor's Donation: Tax Relief Under Old vs. New Regimes Explained

Imagine you give some of your saved money to a political group you believe in.

In India, there are rules about whether you can get a tax break for this.

If you followed the older tax rules, you could get a full tax deduction for giving money to a political party, as long as it wasn't cash and came from money you could explain.

However, if you are using the newer tax rules, you generally can't get this tax break anymore.

It's important that the money you give isn't from hidden sources, because then the government might tax it heavily.

So, Prashant Kishor's big donation to his party might not get him a tax break if he's using the new tax rules.