Categories
Entertainment

Coronavirus | Contributions to CM fund will not qualify as CSR expenditure

https://www.thehindu.com/news/national/contributions-to-cm-fund-will-not-qualify-as-csr-expenditure/article31317943.ece

The Ministry of Commerce has clarified that the contributions to the Chief Minister’s Relief Fund or the State relief fund will not qualify as Corporate Social Responsibility expenditure, while any donation to the PM CARES Fund will.

Also read: Congress questions setting up of PM CARES Fund to deal with coronavirus

“‘The Chief Minister’s Relief Fund’ or ‘State Relief Fund for COVID-19’ is not included in Schedule VII of the Companies Act, 2013, and therefore any contribution to such funds shall not qualify as admissible CSR expenditure,” it has said in a circular.

The circular has said donations to the State Disaster Management Authority to combat COVID-19 can be counted as admissible CSR expenditure.

CPI(M) general secretary Sitaram Yechury flagged the circular on Twitter and said it was discriminatory and went against the constitutional principle of federalism. “States are at the forefront of this battle to contain the spread of Covid-19, and they are being strangulated by the Centre in this fight,” he said.

 

He sought an immediate amendment to Schedule VII of the Companies Act to permit the States to access these funds which could save millions of lives. “Corner all CSR monies for his personally named fund & deny States — who are in the frontline of combatting #COVID19 — these funds. This is “Cooperative Federalism”? Amend Schedule 7 of Companies Act to permit State govts to access these funds which could save millions of lives,” he said.

“Shame on Modiji’s petty politics! Opaque PMCARES is CSR but not CM relief fund! States are leading the COVID war. Centre has not even released even old GST dues,” Trinamool Congress Lok Sabha member Mahua Moitra wrote on Twitter.

You have reached your limit for free articles this month.

Register to The Hindu for free and get unlimited access for 30 days.

Subscription Benefits Include

Today’s Paper

Find mobile-friendly version of articles from the day’s newspaper in one easy-to-read list.

Unlimited Access

Enjoy reading as many articles as you wish without any limitations.

Personalised recommendations

A select list of articles that match your interests and tastes.

Faster pages

Move smoothly between articles as our pages load instantly.

Dashboard

A one-stop-shop for seeing the latest updates, and managing your preferences.

Briefing

We brief you on the latest and most important developments, three times a day.

Not convinced? Know why you should pay for news.

*Our Digital Subscription plans do not currently include the e-paper ,crossword, iPhone, iPad mobile applications and print. Our plans enhance your reading experience.

Leave a Reply

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