Mar 23, 2020

Company may spend CSR amount in PM Cares Fund

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MCA vide Circular dated 23rd March, 2020, has already clarified that spending of CSR amount for COVID-19 is eligible for CSR activity. In this line, the Government of India has set up the Prime Minister’s Citizen Assistance and Relief in Emergency Situations Fund (PM CARES Fund) with the primary objective of dealing with any kind of emergency or distress situation such as that posed by COVID-19 pandemic. Item no. (viii) of Schedule VII provides that contribution to any fund set up by the Central Government for socio-economic development and relief qualifies as CSR expenditure. Accordingly, MCA clarified that any contribution made to the PM CARES Fund shall qualify as CSR expenditure.

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