Report

What’s inside?

The Companies (Amendment) Bill-2020 was introduced in Lok Sabha by the Minister for Corporate Affairs, Nirmala Sitharaman, on March 17, 2020. The Bill sought to amend the Companies Act, 2013. With other changes, it has also tried to bring some change in CSR policy of India. As per India’s CSR policy, companies with net worth, turnover or profits above a specified amount are required to constitute CSR Committees and spend 2% of their average net profits of the past three financial years, towards its CSR policy.  The Bill talked about exempting companies with a CSR liability of up to Rs 50 lakh a year from setting up CSR Committees.  Further, companies which spend any amount in excess of their CSR obligation in a financial year can set off the excess amount towards their CSR obligations in the subsequent financial years.