Csr as per comapnies act,2013

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Querist : Anonymous

Querist : Anonymous (Querist)

27 February 2015 hi,
I wanted to know profit after income tax or before income tax should be considered for 5 crores net profit condition.

we should form any trust for routing expenses towards csr or ompany can directly do the expenditure.

CS Mitesh Mehta

CS Mitesh Mehta (Expert)
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27 February 2015 Net Profit’ means net profit before tax as per books of accounts, computed as per section 198 of the Companies Act, 2013 and shall not include profits arising from branches outside India

Option has been given to the companies to undertake its CSR activities/projects/programs either with the Company or through a registered trust
or society or company or its group company

Querist : Anonymous

Querist : Anonymous (Querist)

27 February 2015 for calculating 2 % average profit for last 3 years we have to recalculate as per sec 198?????

CS Mitesh Mehta

CS Mitesh Mehta (Expert)
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27 February 2015 No.

net profit in respect of a financial year for which the relevant financial statements were prepared in accordance with the provisions of the Companies Act, 1956, (1 of 1956) shall not be required to be re-calculated in accordance with the provisions of the Act