Latest Expert Exchange Queries
sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
 
 
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Service Tax | Sales Tax | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Indirect Tax | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing
 
 
 
 
Popular Search: Central Excise rule to resale the machines to a new company :: cpt :: due date for vat payment :: articles on VAT and GST in India :: TDS :: ACCOUNTING STANDARDS :: VAT Audit :: ACCOUNTING STANDARD :: list of goods taxed at 4% :: empanelment :: TAX RATES - GOODS TAXABLE @ 4% :: VAT RATES :: form 3cd :: ICAI offer Get Windows 7,Office 2010 in Rs.799 Taxes :: ARTICLES ON INPUT TAX CREDIT IN VAT
 
 
Direct Tax »
  No relief to those who defaulted on 1st IDS installment: CBDT
 CBDT clears the air on rental incomes from industrial parks, SEZs
 CBDT signifies achievements towards eliminating domestic black money
 Seafarers get tax exemption from Ministry of Finance
 Financial institutions need to get accounts self-certified for FATCA by April 30
 Direct tax incentives to promote start-ups
 Employer didn't deposit the TDS it deducted on your salary. How to claim it?
 Central Board of Direct Taxes clarifies on cash curb, Aadhaar
 CBDT to issue PAN, TAN within a day to improve Ease of Doing Business
 Expats who stayed in India for 182 days or more must apply for Aadhaar card: CBDT
 CBDT accomplishes direct taxes collection target for FY 2016-17

Don't treat CSR as an additional tax: Govt to companies
January, 02nd 2013

The government wants the companies to have enough elbow room in deciding their CSR activities, but these spendings should not be treated as an additional tax, Corporate Affairs Minister Sachin Pilot has said.

At the same time, the Ministry would take up the matter with Finance Ministry to see whether the companies can get tax benefits for their CSR (Corporate Social Responsibility) spendings, Pilot told PTI in an interview.

The new Companies Bill proposes that certain companies would need to spend two per cent of profits on CSR activities, unless they have a reasonable reason for not doing so.

Expecting "zero non-compliance" by the companies on this front, Pilot said that the government wants to leave it open- ended for the corporates to decided on ways in which they want to conduct their CSR activities.

"I think everyone is on board (on CSR). There is no fear of government acting as big brother. I am hoping that Indian economy and society should be able to get from these companies money to the tune of thousands of crores," he said.

Ruling out any interference from the government's side on the kind of CSR activities that a company should follow, Pilot said: "I believe that it is the responsibility of corporate entities in the country to give back to the community.

"In fact, if the government gets involved, then there is a sense that where has our money gone and what is the end result. It becomes difficult to monitor. It becomes a tax."

"All we are telling the companies is that it is your business, your mining and your manufacturing and therefore it is also your responsibility to build roads, toilets and to plant trees," the Minister said.

"It is your responsibility. We will not tell you what to do. We are only telling you to do it and then report. The companies that have Rs 500 crore net worth, or Rs 1,000 crore turnover, or Rs 5 crore net profit qualify for CSR, two per cent of (three-year average) net profit," he added.

Asked whether the companies would get any tax benefits for CSR spendings, Pilot said he would need to speak to the Finance Minister about that and then see what can be done.

"As per the bill, CSR spending is two per cent of the profit before tax and therefore a kind of benefit is already available by way of deduction from taxable income. I will speak to Finance Minister and see what we can do," he said.

"When corporates want to spend the money, then we should encourage it," he added.

The Minister said that the government has left "things little bit open ended so that corporates have an elbow room to decide on what to do".

"If we give a mandate, then they would say the government is telling us how to do our charity and contributions. We have given a list that is only suggestive," he added.

 
 
Home | About Us | Terms and Conditions | Contact Us
Copyright 2017 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Content Management System development CMS development Content Management Solutions CMS Solutions Content Management Services CMS Services CMS Software

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions