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JASMINE KAUR HUDA

Chartered Accountant

Published on: Mar 27, 2026

Filing of Form 10BD for Section 8 Companies ā€“ A Practical Guide

Section 8 companies (charitable and not-for-profit companies) often receive donations and contributions from individuals, corporates, and institutions. To bring transparency and enable donors to claim deductions under the Income-tax Act, the Government has introduced Form 10BD, a mandatory annual statement of donations.

This article explains what Form 10BD is, who needs to file it, timelines, practical issues, and penalties, specifically from a Section 8 company perspective.

What is Form 10BD?

Form 10BD is an annual statement of donations required to be filed under Section 80G(5)(viii) of the Income-tax Act, 1961.

It contains donor-wise details of donations received during the financial year, such as:

  • Name of the donor
  • PAN / Aadhaar of the donor
  • Address
  • Mode of donation (cash, cheque, electronic, etc.)
  • Amount of donation

Once Form 10BD is filed, the system generates Form 10BE (Donation Certificate), which the organization must issue to donors.

Applicability to Section 8 Companies

A Section 8 company is required to file Form 10BD if:

  • It is approved under Section 80G, and
  • It has received any donation during the financial year for which donors may claim deduction

Even if the Section 8 company has received only one donation, Form 10BD filing is mandatory.

Important: Registration under Section 12AB alone is not sufficient. Form 10BD applies specifically to entities approved under Section 80G.

Due Date for Filing Form 10BD

Form 10BD must be filed on or before 31st May following the end of the financial year.

Example:

  • Donations received during FY 2024ā€“25
  • Form 10BD due date: 31st May 2025

Form 10BE ā€“ Donation Certificate

After filing Form 10BD:

  • The Income-tax portal generates Form 10BE
  • It must be issued to donors by 31st May

This certificate enables donors to claim deduction under Section 80G while filing their income tax return.

Information Required Before Filing

A Section 8 company should ensure the following details are available before filing Form 10BD:

1. Valid 80G registration details

2. Donor wise information, including PAN or Aadhar of the donor, Full name of the donor, Complete address, Amount of donation received, Date and mode of donation.

3. DSC of the authorised Signatory

4. Access to the Income tax efiling portal

Mode of Filing

Form 10BD can be filed:

  • Online through the Income-tax e-filing portal, and
  • Verified using DSC or EVC

For Section 8 companies, filing through DSC is advisable to avoid verification issues.

Consequences of Non-Filing or Late Filing

Failure to file Form 10BD on time attracts penalties:

1. Late Fee ā€“ Section 234G

  • ā‚¹200 per day of delay
  • Maximum: Amount of donations reported

2. Penalty ā€“ Section 271K

  • Minimum: ā‚¹10,000
  • Maximum: ā‚¹1,00,000

These penalties are independent, meaning both can apply simultaneously.

Common Practical Issues Faced by Section 8 Companies

  • Donations received without PAN of donors
  • Cash donations exceeding permissible limits
  • Mismatch between books and Form 10BD data
  • Delay in filing due to lack of awareness
  • Donor dissatisfaction due to non-issuance of Form 10BE

Proper systems and donor data collection at the time of receipt can avoid these issues.

Best Practices for Section 8 Companies

  • Collect PAN and address of donors at the time of donation
  • Maintain a donation register donor-wise
  • Reconcile donations with bank statements regularly
  • File Form 10BD well before 31st May
  • Share Form 10BE proactively with donors

Conclusion

For Section 8 companies, compliance does not end with registration under Section 12AB and 80G. Form 10BD is a critical annual compliance that directly impacts donor trust and their ability to claim tax benefits.

Timely and accurate filing of Form 10BD not only avoids penalties but also strengthens the organization's credibility and transparency.

If you need assistance with Form 10BD filing, donor data validation, or end-to-end compliance for Section 8 companies, professional support can help ensure error-free and timely filing.

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