The IT Department has canceled the 80G benefit enjoyed by the Popular Front of India citing violation of Income Tax rules, an order dated 22nd of March, 2021, says. The order says that PFI violated section 13(1)(b) of the IT Act, and thereby, attracted section 12AA(4)(a) of the said Act.
The former section says that exemptions to charitable institutions shall not apply “in the case of a trust for charitable purposes or a charitable institution created or established after the commencement of this Act, any income thereof if the trust or institution is created or established for the benefit of any particular religious community or caste.”
The latter section provides provisions for the cancellation of the registration of such a charitable organisation. The order noted that PFI was engaged in destroying goodwill and brotherhood among communities.
Section 80G of the Income Tax Act provides incentive for people to participate in philanthropic activities. Individuals can claim tax deduction upon donation to certain trust or charities.
Last year in January, the Yogi Adityanath U.P. Government had asked for a ban on PFI because of the violence caused by PFI members during the anti-CAA riots. PFI members have been frequently found to be indulging in criminal activities, including murder with communal motives.
In February, during a rally to mark the Moplah Massacre of Hindus, PFI had paraded men dressed in RSS uniforms in Kerala. A video from the rally confirmed a lot of Islamic chanting, including Allahu Akbar, la ilaha illallah muhammadur rasulullah, and others chanted during the procession.
