NEW DELHI: Income tax exemptions worth hundreds of crores have been given to hospitals claiming to be charitable institutes, but they may be doing little or no charity, according to a recent report of the Comptroller and Auditor General. Many charitable trusts receiving significant amounts in gross receipts were not being selected for scrutiny by the I-T department, according to CAG.The report examined cases completed from 2012-13 to 2015-16.Even when measurable parameters exist for assessing the extent of charitable activities, the I-T department is unable to deny exemption, said the CAG report. The course itself had been declared illegal by the Medical Council of India . However, the audit found that section 80G certificates were available in just 10% of 87 cases in the standalone hospital category. Despite a preponderance of such violations of the conditions of section 80G, no action was found to have been taken, noted the report.
Source: Times of India August 20, 2017 22:26 UTC