Starting April 1, 2014 the corporate social responsibility landscape for India Inc is in for a change. And the clock has started ticking for corporate India to rejig its CSR activities, and bring them in line with the new guidelines.
The Companies Act 2013 mandates that two per cent of net profits be spent on CSR activities by corporate bodies crossing a certain threshold of profits or turnover of Rs 1,000 crore in any year. According to various estimates such expenditure could range from about Rs 15,000 to Rs 20,000 crore by 5,000 to 10,000 companies every year posing issues of effectiveness and sustainable benefits arising out of such expenditure.
Given below are some news articles providing an overview of the situation :
An overview of CSR Rules under Companies Act, 2013
The rules, effective April 2014, embrace both private and public firms, and spell out a range of activities for companies to undertake in order to meet their obligations. Read more on Business Standard
Hazy CSR tax laws make companies jittery
Companies Act silent on tax treatment . Read more on Business Standard
IRMA to host two-day round table on Corporate Social Responsibility
With a view to evolve policy directions for Corporate Social Responsibility (CSR) expenditure, mandated under the amendments to The Companies Act in 2013, the Institute of Rural Management Anand (IRMA) will organize a round table dialogue.Read more on TOI
The Flag Off of CSR Rules: India Inc.’s To-Do List for Compliance to Section-135
Nearly six months after the draft rules governing Corporate Social Responsibility (CSR) were released under the New Companies Act 2013, the Ministry of Corporate Affairs has issued the final rules that would apply to companies, commencing 1st April 2014.Read more on Forbes