Out of Rs 2172.231 crore as income from unknown sources, share of income from Electoral Bonds was Rs 1811.9425 crore or 83.414 per cent.

An analysis of the Income Tax Returns and donations filed by the political parties with the Election Commission shows that the sources remain remain largely unknown.

At present, political parties are not required to reveal the name of individuals or organisations giving less than Rs. 20,000 nor those who donated via Electoral Bonds. As a result, more than 65 per cent of the funds cannot be traced and are from 'unknown' sources.

While the National Political Parties were brought under the RTI Act by the CIC ruling in June 2013, they have still not complied with the decision. Full transparency is, unfortunately, not possible under the current laws, and it is only the RTI that can keep citizens informed, says a report by the Association for Democratic Reforms.

Source of funding:

Between 2004-05 and 2021-22, the National Parties collected Rs 17,249.45 crore from unknown sources.

During FY 2021-22, BJP declared Rs 1161.0484 crore as income from unknown sources which is 53.45 per cent of the total income of National Parties from unknown sources (Rs 2172.231 cr). This income of BJP is Rs 149.8658 crore more than the aggregate of income from unknown sources declared by the other 6 National Parties (Rs 1011.1826 crore).

AITC declared Rs 528.093 crore as income from unknown sources which is 24.3111 per cent of the total income of National Parties from unknown sources.

Combined income of INC and NCP from sale of coupons between 2004-05 and 2021-22 stands at Rs 4398.51 crore.

Out of Rs 2172.231 crore as income from unknown sources, share of income from Electoral Bonds was Rs 1811.9425 crore or 83.414 per cent.

It is to be noted that AITC's total donations as per the audit report are worth Rs 38 lakhs (excluding donations via Electoral bonds) but the party has declared donations worth Rs 43 lakhs in the donations statement (details of donations above Rs 20,000). Hence, there is a discrepancy in the party's statement for 2021-22.

CPI has declared donations through Levy, Membership fee, Party funds and Election funds.

Income from known sources:

For this report, known sources have been defined as donations above Rs 20,000, whose donor details are available through contributions reports as submitted by National parties to the ECI.

The unknown sources are income declared in the annual audit report but without giving source of income for donations below Rs. 20,000. Such unknown sources include 'donations via Electoral Bonds', 'sale of coupons', 'relief fund', 'miscellaneous income', 'voluntary contributions', 'contribution from meetings/morchas' etc. The details of donors of such voluntary contributions are not available in the public domain.

Other known sources of income include sale of moveable and immoveable assets, old newspapers, membership fees, delegate fee, bank interest, sale of publications and levy whose details would be available in the books of accounts maintained by political parties.
For this analysis, 8 National parties were considered - BJP, INC, AITC, CPI(M), NCP, BSP, CPI and NPEP. However, BSP declared that it did not receive any funds from voluntary contributions (above or below Rs 20,000)/Sale of Coupons/Electoral Bonds or Unknown Sources of income.

Total income of 8 National political parties in 2021-22: Rs 3,289.34 crore.

Total income of political parties from known donors is Rs 780.774 crore, which is 23.74 per cent of the total income of the parties.

Total income of political parties from other known sources (e.g. sale of assets, membership fees, bank interest, sale of publications, party levy etc.): Rs 336.335 crore, or 10.22 per cent of the total income.

Total income of political parties from unknown sources (income specified in the annual audit report whose sources are unknown): Rs 2172.231 crore, which is 66.04 per cent of the total income of the parties.

Out of Rs 2172.231 crore as income from unknown sources, share of income from Electoral Bonds: Rs 1811.9425 crore or 83.414 per cent.

Income from unknown sources;

Out of total income of Rs 2172.231 crore of 7 National Parties from unknown sources, 83.414 % or Rs 1811.9425 cr came from Electoral Bonds.

Income from sale of coupons declared by INC, CPI(M) & NCP) formed 6.785 per cent (Rs 147.3886 crore) of income from unknown sources while Donations from Voluntary Contributions (below Rs 20,000) formed 9.184 per cent (Rs 199.4951 crore) in income from unknown sources of the 7 National Parties.