Keeping in view of the spread of Novel Corona Virus (COVID-19) in India, its declaration as pandemic by the World Health Organisation (WHO), and, decision of Government of India in regards to statutory requirements and benefit of contribution are as under:
- Donations to PM CARES Fund would qualify for 80G benefits for 100% exemption under the Income Tax Act, 1961.
- To treat Novel Corona Virus (COVID-19) as a notified disaster, it is hereby clarified that spending of CSR funds for COVID-19 is eligible CSR activity. Donations to PM CARES Fund will also qualify to be counted as Corporate Social Responsibility (CSR) expenditure under the Companies Act, 2013. Funds may be spent for various activities related to COVID-19 under item nos. (i) and (xii) of Schedule VII relating to promotion of health care, including preventive health care and sanitation, and, disaster management. Further, as per General Circular No. 21/2014 dated 18.06.2014, items in Schedule VII are broad based and may be interpreted liberally for this purpose.
(Also read: Repayment of Credit Card dues can be deferred by 3 months)
(Also read: Clarification regarding extension of Financial Year 2019-20)
(Also read: Finance Minister announces several relief measures relating to Statutory and Regulatory compliance)