What is CSR?
CSR is the statutory obligation of eligible companies to contribute to social development under Section 135, the Companies (CSR Policy) Rules, 2014 (amended 2021) and Schedule VII. Net profit is calculated as per Section 198. Companies must constitute a CSR Committee, adopt a CSR policy and annual action plan, and can spend directly or through eligible implementing agencies such as trusts, societies and Section 8 companies.
Unspent amounts must be moved to an unspent CSR account for ongoing projects within 30 days or to a Schedule VII fund within six months for non-ongoing amounts. Companies with average CSR obligation of Rs 10 crore or more must do impact assessment of larger projects.



