Presently there is two-way loss to exchequer in respect of contributions/donations etc made to political parties and certain non-government organisations (NGOs). There is Income-tax exemption not only on contributions/donations received by these bodies, but even donors/contributors also get Income-tax exemptions made by them to political parties and NGOs.
political-parties are not ready to accept CIC-verdict making them
accountable to public under RTI Act, there is no sense of any
indirect-funding through Income-tax exemption for political parties
and those contributing to them and should be totally abolished.
in a country like India
having Non-Government Organisations (NGOs) numbering as high to be
around one for every 400 citizens, most NGOs are mainly
business-shops of certain individuals managing them, most of whom are
family-members of those having worked in government or legislature.
only all government-funding to NGOs including from funds at
discretion of Parliamentarians and state-legislators should be
altogether banned. Any provision of Income-tax exemption for
'donations' made to and received by NGOs should be abolished.
Income-tax exemptions for charity and other such purposes should also
be abolished. Preventing revenue-loss by abolishing all types of
Income-tax exemptions in respect of NGOs, charitable institutions,
political parties etc will provide added funds to government for
development-purposes in larger public-interest which in fact is
much-much better way to serve public rather than through NGOs,
charitable institutions, political parties etc.