(ET)
India Inc may soon have to make higher disclosures on their corporate social responsibility (CSR) spending, a government official said. A high-level panel on CSR is likely to propose increased disclosures to bring transparency in spending on these activities. All companies with a net worth of Rs 500 crore or more, turnover of Rs 1,000 crore or more, or net profit of Rs 5 crore or more are required to spend 2% of their average profit of the previous three years on CSR activities every year. “There is a view that disclosures need to be enhanced,” the official told, adding that this was needed to facilitate a “social audit”, or an examination of CSR spending.
