Calculation of profit under section 198 of companies act,2013 for the purpose of csr

Anurag Khandelia (C.A) (21 Points)

13 January 2017  
Sir, Kindly provide me the detailed explanation for sub-clause (l) of clause (4) of section 198. I have doubt regarding adjustment of loss against profit which is illustrated below : Illustration Company ABC Ltd had loss of Rs 50 Lakh for FY 2012-13 and had profit of Rs 60 Lakh for FY 2013-14 & Balance of Free reserve & surplus as on 01.04.2012 is Rs 1.00 Crore so loss of FY 2012-13 i.e. amounting of Rs 50 Lakh should be adjusted against opening reserve or can i adjusted the same against Profit of FY 2013-14 - please explain