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Election bonds are mentioned in the schedule VIII of the new Income Tax Bill, which ‘is related to income not to join the total income of political parties and electoral trusts’.
Experts say that the new bill may have a strategic decision by electoral binding policy makers to leave a place for future electoral financing reforms.
Experts are motivated to maintain provisions related to new income tax bills, 2025, electoral bonds, which were unconstitutionally presented by the Supreme Court last year, saying that it is legally inspection or any other form The government may be due to the intention of bringing back. ,
Election bonds are mentioned in the schedule VIII of the new Income Tax Bill, which ‘is related to income not to join the total income of political parties and electoral trusts’.
In a judgment passed on 15 February last year, the Supreme Court abolished the Election Bond Scheme of the Center for anonymous political funding, called it “unconstitutional” because it “violate” the freedom of speech and expression and right to information rights Was.
Under the current Income Tax Act, 1961, donations received from companies and individuals through electoral bonds have been exempted from political parties.
The government has brought it to a new income tax bill to change the 64 -year IT Act. The 622-Page Bill is a simplified version of the existing Act that has become complicated over the years due to more than 4,000 amendments.
Regarding the provisions related to election bonds in the new IT bill, Rajat Mohan, senior partner of AMRG & Associates, said that the election bond provisions in the new income tax bill could be mentioned due to legislative inspection, or a intentional step to keep the door open May be a modified version of the plan in the future.
“While the Supreme Court had strong and appropriate basis to reduce the plan, it can be addressed through structured dialogue and expert consultation. The government still retains the Legislative Authority to re -present a revised political donation structure, provided that it align with constitutional principles and ensures transparency in electoral money, “he said.
Mohan said that the election bond in the new bill may be a strategic decision by policy makers to leave a place for future electoral financing reforms.
Shardul Amarchand Mangaldas and co -partner Rohit Garg said that changes in the new income tax bill are only structural in nature. There is no major change in the original provisions and charging sections. Every provision that was not obsolete has been carried forward in the new Act.
“While SC has ordered SBI to stop the release of election bonds, amendments will have to be made under the respective laws to reflect the decision. If in future, election bonds are re -released, they will be allowed as cuts. However, donors will have to address the question about the details of the donors being made public under the respective acts, as it is only related to the tax capacity aspect, “Garg said.
State Bank of India (SBI) has released election bonds worth Rs 16,518 crore in 30 trenches since the establishment of the scheme in 2018.
According to Schedule VIII, a political party will have to meet six conditions to claim tax exemption on voluntary contribution they received.
One of the conditions states that “no donation of more than Rs 2,000 is received by such a political party, otherwise the bank or an account payer through bank draft or bank account or electronic through other such electronic The clearing system used account payment used to check the payment from the prescribed or electoral bond “.
Schedule VIII has defined the election bonds as a bond referred to in clarification for sub-section (3) of Section 31 of the Reserve Bank of India Act, 1934.
(This story has not been edited by News18 employees and a syndicated news agency has been published from feed – PTI,
