News Excerpt
The Prime Minister of India has launched the Prime Minister’s Citizen Assistance and Relief in Emergency Situations Fund (PM CARES Fund), where citizens can contribute to aid the government's efforts in supporting those affected by disasters - like COVID-19.

Prime Minister's National Relief Fund (PMNRF)
•    The fund was established in 1948 with public contributions to assist displaced persons from Pakistan.
•    The fund is recognized as a Trust under the Income Tax Act and the same is managed by Prime Minister or multiple delegates for national causes. Disbursements are made with the approval of the Prime Minister.
•    PMNRF has not been constituted by the Parliament. It was established entirely with public contributions and does not get any budgetary support.
•    PMNRF accepts voluntary contributions from Individuals, Organizations, Trusts, Companies and Institutions etc.
•    All contributions towards PMNRF are exempt from Income Tax under section 80(G).
•    The resources of the PMNRF are utilized to render immediate relief to families of those killed in natural calamities like floods, cyclones and earthquakes, etc.
•    Assists partially to defray the expenses for medical treatment like heart surgery, kidney transplantation, cancer treatment of needy people and acid attack etc.

Highlights
    The PM CARES has been set up as a public charitable trust. The Prime Minister is the chairman of this trust and its members include Defence Minister, Home Minister And Finance Minister.
    PM CARES fund is specially meant for COVID-19similar pandemic situations, while PMNRF is for all kind of natural disasters.
    Any spending from the Consolidated Fund of India needs to be passed by the Parliament, therefore, creation of a donation-based fund means that legislature hurdle is taken care of.
    COVID-19 has impacted people across the country and therefore, PM CARES attaches a cause to it.
    The PM CARES Fund tries to differentiate itself from PMNRF by enabling micro-donations. One can donate as low as Rs 10 in the PM CARES Fund, while the minimum one can donate in PM National Relief Fund is Rs 100.
    Contributions towards PM CARES Fund will be an eligible expenditure under the Corporate Social Responsibility (CSR) obligations. Under CSR, companies have to spend 2% of their last year's profit towards social causes.
    Like PMNRF, contribution towards PM CARES Fund will also get Section 80 G tax benefits.

Conclusion
The pandemic of COVID-19 has engulfed the entire world and has posed serious challenges for the health and economic security of millions of people worldwide. The case is no different in India. PM-CARE fund would provide a dedicated national fund with the primary objective of dealing with any kind of emergency or distress situation, like posed by the COVID-19 pandemic, and to provide relief to the affected.

PEPPER IT WITH
National Disaster Management Act, Section 80(G) of ITA