# What is the substantial-contributor threshold?

**URL:** <https://forum.pattic.org/t/what-is-the-substantial-contributor-threshold/809>\
**Category:** Donor Due Diligence\
**Created:** [November 13, 2026, 7:17am UTC](https://forum.pattic.org/t/what-is-the-substantial-contributor-threshold/809 "2026-11-13T07:17:05Z")\
**Posts on this page:** 2\
**Page:** 1

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**Author:** ![curious.rabbit](https://forum.pattic.org/user_avatar/forum.pattic.org/curious.rabbit/32/65_2.png) [@curious.rabbit](https://forum.pattic.org/u/curious.rabbit)\
**Post date:** [November 13, 2026, 7:17am UTC](https://forum.pattic.org/t/what-is-the-substantial-contributor-threshold/809/1 "2026-11-13T07:17:06Z")

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A donor has given us quite a lot over the years. What is the substantial-contributor threshold?

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**Author:** ![CA\_Chhabil\_Gadia](https://forum.pattic.org/user_avatar/forum.pattic.org/ca_chhabil_gadia/32/288_2.png) [@CA\_Chhabil\_Gadia](https://forum.pattic.org/u/CA_Chhabil_Gadia)\
**Post date:** [November 13, 2026, 7:18am UTC](https://forum.pattic.org/t/what-is-the-substantial-contributor-threshold/809/2 "2026-11-13T07:18:36Z")

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There are two tests, and meeting either one is enough.

A person is covered if their contribution during the relevant tax year exceeds Rs. 1 lakh, or their total contribution up to the end of that tax year exceeds Rs. 10 lakh.

So track both the current-year and the cumulative amount for each donor.

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**Source:** Income-tax Act, 2025 - section [355(h)(ii)](https://www.incometaxindia.gov.in/w/section-355-7).