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New Delhi - An analysis of Income Tax returns and statements filed with the Election Commission shows that 75% Income of 6 National Parties in the period of 2004-2012 are from unknown sources, says the report released by the Association for Democratic Reforms (ADR).

According to the analysis done by the ADR, while the total income of political parties from known donors is Rs 435.85 crores, which is 8.90% of the total income of the parties, the total income from unknown sources (income specified in the IT Returns whose sources are unknown) is Rs 3,674.50 crores, which is 75.05% of the total income of the parties.

The total income of political parties as donations from electoral trusts is only Rs 105.86 crores, which is 2.16% of the total income of the parties i.e. Rs 4,895.96 crores between financial year 2004-05 and 2011-12.

The ADR also said that the total funds of Rs 2545.36 crores at the central and state level was received within an average of 115 days from date of announcement of elections to the date of completion of elections.

Other Highlights:

Total Income from Funds Received

·         The total funds received by the 6 national parties at the party headquarters and at the state units during election period : Rs 2545.36 crores

·         The total amount of funds received by the 6 national parties at the party headquarters is Rs 967.41 crores

·         The total amount of funds received by the 6 national parties at the state unit level is Rs 1,577.95 crores

Funds received at the party headquarters

·         INC has not declared its income from funds received at the party headquarters for 14 elections out of 31 analysed, including the Lok Sabha Elections. The party’s funds declared at the party headquarters is Rs 278.77 crores (between 2008 and 2012)

·         BSP has declared the maximum funds received during election period between 2008 and 2012: Rs 330.36 crores

Funds received at the state unit

·         INC received the maximum funds of Rs 754.72 crores within an average of 115 days (from date of announcement of elections to the date of completion of elections)

·         The total income of BJP from funds received at the state unit during the elections was Rs 445.39 crores where the party has declared the maximum income from the elections held in 2009 (Rs 169.56 crores) within 144 days and the minimum income from the Bihar Assembly Elections held in 2010 (Rs 5.2 crores) within 80 days

 Description of Funds  during elections

·         90.38% of the total funds received by INC at the party headquarters between 2008 and 2012 was by cash (Rs 251.96 crores) while only 9.62% of the funds was by cheque (Rs 26.81 crores)

·         83.78% of NCP’s total funds was by cash (Rs 14.93 crores) and a meager 16.22% by cheque/DD (Rs 2.89 crores)

Saying that it is quite evident that a very large percent of the income of political parties (75.1% for National parties) cannot be traced to the original donor., the ADR recommended that full details of all donors should be made available for public scrutiny under the RTI. 

The National and other political parties must therefore provide all information under the Right to Information Act. This will only strengthen political parties, elections and democracy, said the ADR.