A company having average profit of last three year more than 5 crore for applicability of CSR Provisions for FY 2016-17.
Now that company having average net profit of last three FY below 5 crore for computation of applicability of CSR Provisions for FY 2017-18.
Now my question is that whether CSR Provisions is applicable for FY 2017-18.
Will your answer be different is the company didn't spent full amount in FY 2016-17 and desire to incur CSR related expenses in coming FY year
Once becoming eligible for CSR. Then responsibility continues for next 3 F.Y. even if the company falls below the prescribed threshold during that time. Kindly refer Rule 2 of CSR Rules, 2014.
If full amount is not spent then disclosure requirement has to be complied. If excess amount was spent then also carry forward is not allowed.
For expenditure point of view each f.y is seperate.
CAclubindia
