Capital assets for CSR

No, not unless that capital asset is in use by the company.

If it's not in use, create an asset as it's not inventory. 

By the way CSR activities are defined. When you want to do social work from your 3 years average profits, it must be allowed. Supposing if your a builder and wants to lay roads, you can do it at your own cost by using your equipment and labor without a profit margin. And it doesn't fall as a loss. 

It's part of a group. Besides, it can be recorded as PPE.

During construction 3 years average profits into 2%

Dr. Retained earnings 200

Cr. CSR liability 200

Dr. School 200

Cr. Bank 200

And a reconciliation is required between retained earning, bank and CSR liability. It will automatically happen in general ledger 

https://www.caclubindia.com/articles/csr-reporting-creating-a-liability-for-an-asset-26864.asp

What happens as per the scheduled acts is, school must be expenses. But I'm trying to find a way here. 

Maybe 

Dr. Reserves

Cr. CSR liability

And 

Dr. CSR liability 

Cr. Bank 

Finally

Dr. Asset 

Cr. Equity??? Because assets - liabilities = equity. It can be done like that if company doesn't bankrupt lol

My rational explanation is 

Every transaction tallies assets and liabilities through dual aspect

In the same way equity is the residual interest in net assets per transaction. 

So you can create a head in equity like ' 'ownership interest' because we have interest in an asset which is a liability to the company. 

We can amortise building without tax exemption and retained profits will reduce and we can 

Dr. Reatined earnings 

Cr. Ownership interest

This both the building and ownership interest will derecognise properly.