Companies Act amended,PM CARES eligible to receive CSR funds (Read Notification)

The Ministry of Corporate Affairs (MCA) has issued a notification that contributions to the PM CARES Fund will be considered as part of Corporate Social Responsibility (CSR) of companies. 

Companies Act amended,PM CARES eligible to receive CSR funds (Read Notification)

So far, only the Prime Minister’s National Relief Fund was eligible to receive CSR funding.

“In Schedule VII, item (viii), after the words ‘Prime Minister’s National Relief Fund’, the words “or Prime Minister’s Citizen Assistance and Relief in Emergency Situations Fund (PM CARES Fund)” shall be inserted,” the ministry stated in a notification. This means donations by companies to the PM CARES Fund will now be eligible to be counted under their CSR activities. 

This notification shall be deemed to have come into force on 28, March, 2020, it added.

Also Read: MSME credit guarantee scheme: Frequently asked questions (FAQ’s)

PM CARES Fund, was made by the PMO on May 13, 2020. Rs 3,100 crore from the fund had been allocated for the country’s fight against COVID-19, of which approximately Rs 2,000 crore was earmarked for the purchase of ventilators, Rs 1,000 crore for the care of migrant labourers and Rs 100 crore was to be directed to support vaccine development.

(CLICK HERE TO READ THE FULL TEXT OF NOTIFICATION)

About CA Junction

Check Also

CA Exams July 2020: ICAI will release FAQ's for Opt-out scheme for CA Students.

CA Exams July 2020: ICAI will release FAQ’s for Opt-out scheme for CA Students.

ICAI IMPORTANT ANNOUNCEMENT  In view of the ongoing COVID-19 pandemic and in the interest of …

Leave a Reply

Your email address will not be published. Required fields are marked *