New Delhi: In a bid to bring more reforms and transparency in the funds of political parties, the Election Commission has proposed reducing anonymous political donations from Rs 20,000 to Rs 2,000.
The Commission, in a letter to the Union Law Ministry, has recommended various amendments in the Representation of the People Act, sources said.
Recently, the Commission delisted 284 non-compliant registered unrecognized political parties (RUPPs), declaring more than 253 of them inactive. Earlier, the Income Tax Department raided a number of such entities across the country on charges of tax evasion.
Currently, political parties have to disclose all donations above Rs 20,000 through their contribution report that is submitted to the EC.
Sources said that the Commission has proposed lowering the threshold limit for cash donations made to political parties from Rs 20,000 to Rs 2,000. In case the proposal gets approved, all donations above Rs 2,000 will be part of the contribution report which is submitted to the Commission.
There are a few political parties which have shown contributions above Rs 20,000 as nil, while their audited accounts statement showed receipt of huge amounts – all less than the limit of Rs 20,000.