New Delhi: Ex-gratia payments made to temporary, casual and daily wage workers by companies will be considered as CSR expenditure under the companies law, provided that such payments are over and above disbursement of wages.
Weeks after announcing that contributions by companies to PM-CARES Fund to tackle the pandemic would be considered as CSR, the corporate affairs ministry has come out with a set of FAQs (Frequently Asked Questions) to clarify various aspects.
According to the ministry, contributions made to State Disaster Management Authority to combat COVID-19 would qualify as CSR expenditure.
However, contribution towards 'Chief Minister’s Relief Fund' or 'State Relief Fund for COVID-19' would not be considered as spending towards