Csr

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ARUN KUMAR MAITRA (Querist)

24 July 2014 In every Financial Year, a company contributes to a trust registered under the Indian Trust Act towards corpus of the Trust and to Schools belonging to a Section 25 Company . While the contribution to the Corpus of the Trust is contributed in adhoc amount, the donation to the School is made on per student per month basis.

In view of the recent clarification given by the Ministry of Corporate Affairs vide General Circular No. 21/2014 dated 18th June, 2014 regarding CSR, whether contribution made by the Company to the Trust and Schools shall be covered under the provisions of Section 135 of the Companies Act, 2013.

Ankur Garg

Ankur Garg (Expert)

25 July 2014 Contribution made to Registered Trust and Section 25 Company will be counted for the purpose of CSR contribution. However the pre-conditions should be the activities of Trust and section 25 company should be such as mentioned in Schedule VII.

I am sure they are not created exclusively for undertaking CSR activities. So you need to check whether the activities carried out by the Registered Trust and Section 25 Company are the activities mentioned in Schedule VII.

Thanks

Message likes : 1 times

ARUN KUMAR MAITRA

ARUN KUMAR MAITRA (Querist)

26 July 2014 I agree with your views.

Ankur Garg

Ankur Garg (Expert)

26 July 2014 Thanks you very much Sir...

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