The Election Commission of India (ECI) wants more transparency and accountability in party funds and matters relating to expenditure. For the same, it has issued fresh guidelines to all political parties on party funding and election expenditure that would be applicable from October 1 this year.
Giving details of new guidelines to be operative from next month, ECI spokesperson on Monday said: “Concerns have been expressed in various quarters that money power is disturbing level playing field and vitiating purity of elections. It is desirable for the political parties to observe transparency and accountability in respect of funds raised and expenditure incurred both during elections and in other times.”
Spokesperson said that it was imperative for all political parties to observe transparency and accountability in respect of funds raised and expenditure incurred which was necessary for conduct of free and fair elections and for this purpose these guidelines have been issued.
Bringing more transparency in the election funding, necessary amendments have been made in Income Tax Act and henceforth, no deduction would be allowed on the contribution made in cash by any person or company to a political party.
The new guidelines also made it mandatory for all political parties to maintain name and address of such individuals, companies or entities making donations to it, except petty sums donated by public only during public rallies.
Any donation received in cash by a party would be duly accounted in accounts book and deposited in party’s bank account within one week, added the spokesperson.
Another amendment in the Income Tax Act has been made that payments exceeding Rs 20,000 by any business entity to a person are required to be made by account payee cheque.
No party would provide any financial assistance to its candidates for election expenses that exceeds the ceiling imposed under section 77 (3) of RP Act, 1951, said the spokesperson, adding that all parties would file all reports in form 24(A) and audit it annual accounts as certified by CA for each financial year before 31st of October of each year. All parties would maintain their books as per Section 13 A of Income Tax Act.
The ECI has issued a copy of these guidelines to Punjab’s all deputy commissioners-cum-district election officers, and presidents or representatives of various political parties including to SAD president Sukhbir Badal, Punjab BJP chief Kamal Sharma, state Congress president Partap Singh Bajwa, Aam Aadmi Party convener Sucha Singh Chhotepur, among others.