CSR- contribution to charitable trust
This query is : Resolved
03 March 2025
Is monetary contribution considered CSR only if given to funds listed in Schedule VII?
Is a contribution to a local registered charitable trust eligible as CSR expenditure?
Is a contribution to a local registered charitable trust eligible as CSR expenditure?
12 August 2025
Great question on CSR contributions! Here’s a clear explanation:
1. Is monetary contribution considered CSR only if given to funds listed in Schedule VII?
No, not only those funds.
Schedule VII of the Companies Act, 2013 lists various activities eligible for CSR expenditure, including contributions to:
The Prime Minister’s National Relief Fund
Funds specified by the government for socio-economic development
Other activities promoting health, education, environment, etc.
Monetary contributions to these specified funds are definitely eligible.
2. Is a contribution to a local registered charitable trust eligible as CSR expenditure?
Yes, it can be eligible if the trust’s activities align with the CSR objectives under Schedule VII.
Important conditions:
The trust should be registered and recognized under applicable laws (e.g., Trust Act, Societies Act).
The trust should be engaged in activities listed under Schedule VII.
The company must ensure the trust is not involved in activities outside CSR scope.
Proper documentation, such as registration certificates and activity proof, should be maintained.
The company should monitor the utilization of funds for CSR purposes.
1. Is monetary contribution considered CSR only if given to funds listed in Schedule VII?
No, not only those funds.
Schedule VII of the Companies Act, 2013 lists various activities eligible for CSR expenditure, including contributions to:
The Prime Minister’s National Relief Fund
Funds specified by the government for socio-economic development
Other activities promoting health, education, environment, etc.
Monetary contributions to these specified funds are definitely eligible.
2. Is a contribution to a local registered charitable trust eligible as CSR expenditure?
Yes, it can be eligible if the trust’s activities align with the CSR objectives under Schedule VII.
Important conditions:
The trust should be registered and recognized under applicable laws (e.g., Trust Act, Societies Act).
The trust should be engaged in activities listed under Schedule VII.
The company must ensure the trust is not involved in activities outside CSR scope.
Proper documentation, such as registration certificates and activity proof, should be maintained.
The company should monitor the utilization of funds for CSR purposes.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- TDS 194-T applicability
- GST ITC REVERSE
- Fixe term employment
- Is any professional CA is here please reply
- Reprocessing of rectification order AY 2025-26
- RCM ISSUE ON RENT AND TRANSPORTATION CHARGES
- Foreign lottery ticket bought online from India: legality, tax and consequences
- TDS on TRUST
- Putting a heading on received mail
- Section 50-fixed asset-->building ceases to exist
- Regarding Applicability of Tax Audit u/s 44AB
- Regime change
- Goods sold but invoice not issued
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- STATUTORY AUDIT OF A SMALL PRIVATE COMPANY INCORPORATED ON 28.03.2025
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
- How to pay remaining amount of TDS after due date?
- Resigning a auditor from the company for misconduct
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
