ICAI Technical Guide on Accounting for Expenditure on CSR Activities
ICAI has released the Technical Guide on Accounting for Expenditure on Corporate Social Responsibility Activities on 1st July, 2020.
This Technical Guide provides guidance on accounting for expenditure on CSR activities in accordance with the requirements of the Generally Accepted Accounting Principles including the applicable Accounting Standards.
This Technical guide consists of FAQs to answer many doubts. For example if the company is required to make a provision for short fall amount of CSR expenditure? whether excess spent amount may be carried forward? or what would be the treatment of surplus earned from CSR Projects/Programmes ?Â
Subsequent to the issue of the Technical Guide on Accounting for Expenditure on Corporate Social Responsibility Activities, the Guidance Note on Accounting for Expenditure on Corporate Social Responsibility Activities, issued on 15th May 2015, stands withdrawn.
Section 135 of The Companies Act, 2013 makes it mandatory for companies coming within the prescribed criteria, to implement and report CSR policies in the Annual Report of the Company. Which activities would be called “CSR activities” has been listed in Schedule VII of the Companies Act, 2013.Â
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- AO took a reasonable stand that 25 kg written in WhatsApp chat was 25 lakh – ITAT
- Shareholders can’t be taxed for income from properties owned by the company – HC
- Jurisdictional error in reassessment approval can’t be shielded by the law of limitation
- ITAT ought to remanded whole matter of bogus purchases instead of profit determination
- Where proceedings u/s 153C barred by limitation, AO can’t invoke section 148 & 148A
