[Analysis] of CSR Provisions, Audit Checklist and Reporting Responsibilities

 ​    1. Introduction Corporate Social Responsibility … Continue reading “[Analysis] of CSR Provisions, Audit Checklist and Reporting Responsibilities”
The post [Analysis] of CSR Provisions, Audit Checklist and Reporting Responsibilities appeared first on Taxmann Blog. 

1. Introduction

Corporate Social Responsibility means and includes projects or programs relating to activities undertaken by a company as specified in Schedule VII to the Companies Act, 2013 (e.g. tree plantation undertaken by the coal mining company).

2. Applicability of Corporate Social Responsibility

The Companies Act, 2013 mandates every company to have a net worth of Rs. 500 crores or more, or turnover of Rs. 1,000 crores or more, or a net profit of Rs. 5 crores or more, during the immediate preceding financial year.

3. Audit Checklist for CSR Activities

CSR Audit refers to a systematic assessment and evaluation of a company’s CSR practices and performance. It involves a comprehensive review of the company’s social, environmental, and ethical initiatives to determine their alignment with established CSR standards, guidelines, and regulatory requirements. To ensure an efficient and effective CSR audit, auditors can utilize the following checklist as a guide:

I. The auditor needs to check, whether the activities performed under CSR by the company are within the purview of Schedule VII of the Companies Act, 2013

II. Has the auditor checked whether any contributions or donations made as CSR activity comply with the specific categories outlined in Schedule VII of the Act

III. Whether separate disclosure of expenditure on CSR activities as required by Schedule III of the Act, has been disclosed by the company

Click Here To Read The Full Story

The post [Analysis] of CSR Provisions, Audit Checklist and Reporting Responsibilities appeared first on Taxmann Blog.

 News Archives – Taxmann Blog Read More 

Leave a Reply