Electoral trusts received ₹3,826.34 crore in contributions in the financial year 2024 to 25 and disbursed ₹3,826.35 crore to political parties, with the Bharatiya Janata Party receiving more than 82 percent of the total funds, according to a report released on Friday by the Association for Democratic Reforms.
The analysis, based on contribution documents submitted to the Election Commission of India, said that 10 of the 20 registered electoral trusts declared receiving donations during FY25. Five trusts did not have their annual reports available on the Commission’s website even three months after the deadline.
As per the report, ₹3,826.34 crore was received from corporate entities and individuals during the year, and ₹3,826.35 crore was distributed to political parties. The rules under the Electoral Trusts Scheme require trusts to distribute at least 95 percent of the contributions they receive in a financial year.
The Bharatiya Janata Party received ₹3,157.65 crore, which accounted for 82.52 percent of the total funds distributed by electoral trusts. The Indian National Congress received ₹298.78 crore, or 7.81 percent, while the All India Trinamool Congress received ₹102 crore, or 2.67 percent. Nineteen other political parties together received ₹267.92 crore.
Among the trusts, Prudent Electoral Trust disbursed the highest amount at ₹2,668.46 crore to 15 political parties. Progressive Electoral Trust donated ₹914.97 crore to 10 parties.
The ADR said 228 corporate or business houses contributed ₹3,636.82 crore, while 99 individuals donated ₹187.62 crore. The top 10 donors accounted for ₹1,908.86 crore, which is nearly 49.89 percent of the total contributions.
Elevated Avenue Realty LLP was the single largest donor with ₹500 crore. It was followed by Tata Sons Private Limited with ₹308.13 crore, Tata Consultancy Services with ₹217.62 crore and Megha Engineering and Infrastructure Limited with ₹175 crore.
Sector-wise, the manufacturing sector contributed the highest share at ₹1,063.13 crore, accounting for 27.78 percent. The real estate sector followed with ₹629.17 crore, or 16.44 percent, and communication, IT and telecom contributed ₹451.86 crore, or 11.81 percent.
State-wise, Maharashtra was the largest source of contributions at ₹1,225.43 crore. It was followed by Telangana with ₹358.25 crore, Haryana with ₹212.9 crore, West Bengal with ₹203.85 crore and Gujarat with ₹200.50 crore. However, the ADR noted that donor addresses were not disclosed for contributions worth ₹1,065.2 crore, most of which went to Prudent Electoral Trust.
The report also flagged compliance concerns. Five of the 15 trusts that submitted annual reports declared nil contributions in FY25. The contribution reports of Swadeshi Electoral Trust, AB General Electoral Trust, PD General Electoral Trust, Janta Nirvachak Electoral Trust and Independent Electoral Trust were not available on the Election Commission’s website.
It further noted that Harmony Electoral Trust received ₹35.55 crore but disbursed ₹35.65 crore, which is ₹10 lakh more than it received during the year.
Under the Electoral Trusts Scheme 2013, notified after amendments to the Income Tax Rules, electoral trusts are set up to receive voluntary contributions from companies and individuals and distribute them to registered political parties. These trusts are approved by the Central Board of Direct Taxes and are subject to periodic renewal.
The ADR recommended stricter action against trusts that fail to comply with disclosure norms and called for greater transparency through mandatory corporate disclosures of political contributions.
The electoral bonds scheme, which allowed anonymous donations to political parties, was struck down in February 2024 by the Supreme Court of India, which held it unconstitutional and violative of voters’ right to information.
