16. Is there a limit on the amount a donor can contribute to a political party during an election?

India

India

Answer
No
Source

Sahoo, N. & Tiwari, N. (2019) ‘Financing elections in India: A scrutiny of corporate donation’, Observer Research Foundation (ORF), 09 April. Available at: https://www.orfonline.org/expert-speak/financing-elections-india-scrutiny-corporate-donation-49750/ (Accessed: 30 March 2020).

The Hindu (2017) Electoral funding norms for corporates eased. Available at: https://www.thehindu.com/news/national/cap-on-corporate-aid-to-parties-to-go/article17619391.ece (Accessed: 02 April 2020).

India TV (2017) Political funding: Finance Bill removes cap on corporate donations, disclosure of beneficiaries' name. Available at: https://www.indiatvnews.com/politics/national-political-funding-finance-bill-2017-removes-cap-on-corporate-donations-373791 (Accessed: 04 April 2020).

 

Comment

In 2017, Bharatiya Janata Party’s (BJP) government included an amendment to the Companies Act of 2013 to do away with the 7.5 per cent of their average net profit in the past three financial years’ limit set on donations from corporate bodies. Thus the amendment effectively allows companies to contribute any amount to a political party without making its name public.

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