Government of India has set-up Prime Minister’s Citizen Assistance and Relief in Emergency Situations Fund

The Government of India, Ministry of Corporate Affairs has set up a Prime Minister’s Citizen Assistance and Relief in Emergency Situations Fund to deal with any kind of emergency or distress situation such as that posed by COVID-19 pandemic. In this regard, MCA had on the 28^th day of March 2020 issued an Office Memorandum no. ef. No.CSR-05/1/2020-CSR-MCA to clarify that any contribution made to the PM CARES Fund shall qualify as CSR expenditure under the provisions of Section 135 of the Companies Act, 2013. Any contribution made to the PM CARES Fund would be covered in clause (viii) of Schedule VII to the Companies Act, 2013 which enumerates activities that may be undertaken by Companies in the discharge of their CSR obligations, inter alia provides that contribution to any fund set up by the Central Government for socio-economic development and relief qualifies as CSR expenditure.   Last Updated: 30^th March 2020 This article is contributed by:  Luv Malhotra Senior Manager, Legal    

Tag: CSR, MCA, Tax Benefit