Companiesí CSR works to be monitored from next year: Govt

The government on Tuesday said it would start monitoring CSR activities of corporates under the new Companies Act from next year.

Certain class of profitable companies are required to shell out at least 2% of their three-year annual average net profit towards Corporate Social Responsibility (CSR) works. These norms have come into effect from April 1.

‘‘This being the first year of implementation of the provisions, it will be possible to initiate monitoring of the CSR activities under the above provision from next year only’’ minister of state for corporate affairs Nirmala Sitharaman informed the Rajya Sabha in a written reply.