MCA amends Schedule VII to allow CSR contributions to incubators, universities & research
Ministry of Corporate Affairs (MCA) has finally issued Notification G.S.R. 776(E) dated 11th October amending clause No. ix under Schedule VII of the Indian Companies Act 2013. Schedule VII outlines “specified CSR activities” for which companies may deploy CSR funds
Clause No. ix of Schedule VII prior to this amendment allowed: “Contributions or funds provided to technology incubators located within academic institutions which are approved by the Central Government”. This provision was rather narrow and restricted.
Clause No. ix of Schedule VII has now been amended and substituted with the following: “Contribution to incubators funded by Central Government or State Government or any agency or Public Sector Undertaking of Central Government or State Government, and contributions to public funded Universities, Indian Institute of Technology (IITs), National Laboratories and Autonomous Bodies (established under the auspices of Indian Council of Agricultural Research (ICAR), Indian Council of Medical Research (ICMR), Council of Scientific and Industrial Research (CSIR), Department of Atomic Energy (DAE), Defense Research and Development Organization (DRDO), Department of Science and Technology (DST), Ministry of Electronics and Information Technology) engaged in conducting research in science, technology, engineering and medicine aimed at promoting Sustainable Development Goals (SDGs)”.
This amendment has widened the scope of CSR giving and spending especially for research in science, technology, engineering and medicine aimed at promoting Sustainable Development Goals (SDGs).