Unrecognised Indian parties receive 17 billion rupees tax‑free despite scant election activity

A BBC investigation found that hundreds of millions of dollars in tax‑exempt donations went to little‑known Indian political parties that rarely contest elections. These groups are classified as Registered Unrecognised Political Parties, or RUPPs, meaning they are listed with the authorities but lack state or national party status. The report examined six RUPPs that together claimed to have received about 17 billion rupees in the 2023‑24 financial year. Despite the large sums, the six parties together fielded only 15 candidates in India’s 2024 gener. The disparity highlights how sizeable tax‑free funding can flow to parties with minimal electoral presence. The BBC’s findings raise questions about the transparency of political financing and the effectiveness of existing donation rules. Critics say the current system allows parties with little public support to amass wealth without sufficient scrutiny. Election officials have not yet commented on the specific cases, but the report urges tighter oversight to ensure that donation benefits reach active political participants rather than dormant entities.