What is the importance of Daan in Hinduism?

Daan (giving) is one of the most fundamental virtuous acts in Hindu dharma. The Garuda Purana, Bhagavad Gita, and Vishnu Purana all describe Daan as a direct means of accumulating spiritual merit (punya), purifying karma, and advancing toward liberation (moksha). True Daan — given with faith, without expectation of return, to a worthy recipient at the right time and place — is said to follow the soul across lifetimes and cannot be lost.
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