CSR Policy & Committee Formation
Companies with net worth of Rs. 500 crore or more, or turnover of Rs. 1,000 crore or more, or net profit of Rs. 5 crore or more during the immediately preceding financial year. Such companies must form a CSR Committee (minimum 3 directors, including at least 1 Independent Director), adopt a CSR Policy, and spend at least 2% of average net profits on CSR activities.
CSR Policy must be approved by the Board and uploaded on the company's website. Annual report on CSR activities in the prescribed format must be included in the Board's Report. Unspent CSR amount must be transferred to specified fund or Unspent CSR Account within 30 days of close of financial year.
Section 135, Companies Act 2013; CSR Rules 2014
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