Context

• The total voluntary contribution to the Prime Minister's Citizen Assistance and Relief in Emergency Situations Fund (PM CARES Fund) fell to ₹912 crore in the fiscal year 2022-23, lowest since COVID-19 outbreak.

PM CARES Fund

• Registered under the Registration Act, 1908 at New Delhi on 27th March, 2020.
• Registered as a Public Charitable Trust.
• Primary Objective: To deal with any kind of emergency or distress situation, like posed by the COVID-19 pandemic, and to provide relief to the affected.
• Ex-officio Chairman: Prime Minister
• Ex-officio Trustees: Minister of Defence, Minister of Home Affairs and Minister of Finance.

Contributions:

• The fund consists entirely of voluntary contributions from individuals/organizations and does not get any budgetary support.
• Donations would qualify for 80G benefits for 100% exemption under the Income Tax Act, 1961.
• Donations will also qualify to be counted as Corporate Social Responsibility (CSR) expenditure under the Companies Act, 2013.
• Fund has also got exemption under the Foreign Contribution (Regulation) Act, 2010.

Other Similar type of Fund

• Prime Minister’s National Relief Fund (PMNRF)
• Instituted: 1948 by then Prime Minister Jawaharlal Nehru
• To assist displaced persons from Pakistan. The fund is currently used primarily to tackle natural calamities like floods, cyclones and earthquakes. The fund is also used to help with medical treatment like kidney transplantation, cancer treatment and acid attack.
• The fund consists entirely of public contributions and does not get any budgetary support.
• It accepts voluntary contributions from Individuals, Organizations, Trusts, Companies and Institutions etc.
• The corpus of the fund is also invested in various forms with scheduled commercial banks and other agencies.
• Disbursements are made with the approval of the Prime Minister.
• The fund is recognized as a Trust under the Income Tax Act and the same is managed by the Prime Minister or multiple delegates for national causes.
• Contributions towards PMNRF are notified for 100% deduction from taxable income under section 80(G) of the Income Tax Act, 1961.