The CSR provision is applicable to companies with an annual turnover of 10 billion and more, or a net worth of 5 billion and more, or a net profit of 0.05 billion or more during any financial year.

CSR Policy

The Ministry of Corporate Affairs (MCA) notified the CSR provisions on 27th February 2014 under section 135 of the new Companies Act, 2013 and the Companies (Corporate Social Responsibility Policy) Rules, 2014, as well as activities to be undertaken as per Schedule VII of the Companies Act, 2013.

The CSR provision is applicable to companies with an annual turnover of 10 billion and more, or a net worth of 5 billion and more, or a net profit of 0.05 billion or more during any financial year. Companies that trigger any of the aforesaid conditions must spend at least two per cent (2%) of their average net profits made during the three immediately preceding financial years on CSR activities and/or report the reason for spending or non-expenditure.

The following activities to be included by companies in their Corporate Social Responsibility (CSR) Policies:

For more details, refer to the following links:

http://finance.bih.nic.in/Documents/CSR-Policy.pdf

http://www.mca.gov.in/Ministry/pdf/CompaniesActNotification2_2014.pdf

https://www.mca.gov.in/Ministry/pdf/FAQ_CSR.pdf

http://www.mca.gov.in/Ministry/pdf/General_Circular_21_2014.pdf