Why Diwali Is the Best Time to Donate — Spiritual, Social & Tax Reasons
POSTED ON October 9, 2025 BY AKSHAYACHAITANYA

Diwali: The Festival of Light, Renewal & Giving
Diwali (Deepavali ) needs no introduction in India. It is the most celebrated festival across the country, lighting up homes, streets, and hearts. Lamps glow in rows, families gather, and prayers to Goddess Lakshmi and Lord Ganesha fill the air. But Diwali is not just about wealth and lights — it is also about the triumph of dharma (righteousness), compassion, and the willingness to share.
Across centuries, giving (dāna) during Diwali has been regarded as deeply auspicious. Kings would distribute wealth, communities would organize free food (annadāna), and households would open their doors to the poor. The belief was simple: when you share your prosperity during Diwali, it multiplies and blesses your family.
In modern times, with bustling cities and busy lives, this custom sometimes gets overlooked. Yet today, the need for donations is greater than ever. Hunger, malnutrition, and inequality remain harsh realities. That’s why Diwali is the perfect time to donate — spiritually, socially, and even financially.
The Spiritual Power of Giving During Diwali
Diwali marks the return of Lord Rama after defeating Ravana, the slaying of Narakasura by Krishna, and the worship of Lakshmi, the goddess of wealth. Each story symbolizes victory over darkness, ego, and greed.
When you donate during Diwali:
- You cleanse karma: Charity is seen as a purifier of past actions.
- You honor Lakshmi: Sharing wealth ensures it circulates and grows.
- You align with cosmic rhythms: Festivals are energy peaks; actions done then carry more weight.
- You experience joy of selflessness: True wealth is not what you hoard but what you share.
Lighting a diya may banish physical darkness; donating a meal banishes the darkness of hunger. Both are acts of light.
The Social Impact of Diwali Giving
India celebrates Diwali with sweets, new clothes, and bursting crackers. But for millions, Diwali is just another night of empty stomachs.
- Children in slums often see fireworks but not food.
- Families of hospital patients wait hungry by the bedside.
- Daily-wage earners may spend the day without a proper meal.
By donating, you bridge this gap. A single meal donation can: Give a child energy to study
- Relieve a caretaker’s stress in a hospital ward
- Make a family feel included in the festival
Diwali is about community. When you share with those who have less, you restore the original meaning of the festival: collective joy.
Tax Benefits: Section 80G Advantages
Many people don’t realize that donating during Diwali is not just spiritually and socially rewarding — it’s also financially smart.
Under Section 80G of the Income Tax Act:
- Donations to registered NGOs like Akshayachaitaniya are eligible for tax deductions.
- You can claim 50% to 100% deduction, depending on the NGO’s category.
- The donation receipt we issue is valid for your annual income tax filing.
So, donating ₹10,000 could reduce your taxable income by ₹5,000–₹10,000 (depending on the rules). Effectively, the government shares the cost of your generosity.
That means — you can feed the hungry and also save money legally. A win-win.
Emotional Fulfilment Beyond Wealth
Psychologists say: giving activates the brain’s “reward system” — creating happiness hormones like dopamine and oxytocin.
During Diwali, when stress levels rise (shopping, travel, expenses), giving actually balances your emotional state:
- You feel grounded.
You feel connected to society.
- You pass on the spirit of compassion to children in your family.
A family that lights diyas together may glow for one evening; a family that donates together shines for years.
Light the World, Not Just Your Home
Diwali is more than lamps, sweets, and shopping. It’s a spiritual invitation: to let generosity flow, to let compassion be your prayer, and to let your abundance lift someone else’s burden.
This year, as you perform Lakshmi Puja and wish for prosperity, remember: Lakshmi smiles most upon those who share.
Donate this Diwali with Akshaya Chaitaniya. Light not just your home, but also someone’s life.