MINISTRY OF CORPORATE AFFAIRS WIDENS AMBIT OF CSR ACTIVITIES
The ministry of corporate affairs (MCA) has included contributions towards the Central Armed Police Forces (CAPF) and Central Para Military Forces (CPMF) veterans and their dependents including widows, within the definition of corporate social responsibility (CSR).
The notification, on Wednesday, widened the scope of CSR, which was earlier restricted activities benefiting the army, navy and air force veterans and their dependents and war widows.
While this would benefit veterans and dependents of the CAPF and the CPMF going forward, a Crisil report earlier in June said nearly 80% of CSR funds for the current fiscal have already been pledged to address the Covid-19 pandemic.
According to a Parliament discussion in November last year, the armed forces and war widows category of CSR received Rs 81 crore since 2014-15. As per data from nseinfobase.com, CSR spends on this category grew the most at 84% in FY19 over the previous fiscal.
The Companies Act, mandates certain classes of profitable companies to spend 2% of their three-year annual average net profit towards CSR activities per year.
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