Close to 16,000 Indian companies are expected to spend $2.5 billion (aboutRs.15,000 crore) on corporate social responsibility (CSR) in the coming years, from the current $0.5 billion, according to a Boston Consultancy Group report published in February. This increase in money is not because companies have suddenly became more charitable, but because of the guidelines that were created by Bhaskar Chatterjee, director general and chief executive of the Indian Institute of Corporate Affairs (IICA), a Delhi-based government affiliated think tank for corporate regulation and reform. These guidelines went on to be implemented in the Companies Act of 2013.

Flooded with queries, from both companies that have never had a CSR policy in place and those that have been doing CSR a certain way up till now, Chatterjee is confident that eventually the companies will comply with 2% spending; otherwise they will be “named and shamed”. He also said that the think tank is in the final stages of drafting a guidance note on CSR accounting and auditing, under which companies will need to account for CSR expense on their balance sheet...........Read more

 

Source web page: livemint