Corporate Social Responsibility
Organisational mechanism and responsibilities
Constitution of Corporate Social Responsibility Committee
The Board of Directors of the Company shall constitute a Corporate Social Responsibility Committee of the Board (“CSR Committee”) consisting of three or more directors. The Chairman / members of the CSR Committee shall be appointed or removed by the Board of Directors through resolution.
The CSR Committee shall –
- Formulate and recommend to the Board, CSR activities to be undertaken by the company as per Schedule VII;
- Recommend the amount of expenditure to be incurred on the activities; and
- Monitor the Policy of the company from time to time.
The Board of the company shall after taking into account the recommendations made by the CSR Committee, approve the policy for the company and disclose contents of such Policy in its report and also place it on the company’s website and ensure that the activities as are included in the CSR Policy of the company are undertaken by the company.
The board shall ensure spending of the allocated amount on CSR Activities and report the status in its annual report, also specify the reasons of non-spending of the allocated amount, if any.
Activities, setting measurable targets with timeframes and performance management: All activities/projects of CSR are assessed under the agreed strategy, and are monitored every quarter/year, measured against targets and budgets. Wherever necessary, midcourse corrections are made.
A specific budget is allocated for CSR activities and spending on CSR activities shall not be less than 2% of the average net profits of the Company made during the three immediately preceding financial years, in pursuance of this policy.
In case Company fails to spend such amount, the Board shall specify the reasons for not spending the amount.
The CSR Policy mandates that the surplus arising out of the CSR projects or programs or activities shall not form part of the business profit of a company.
The CSR projects or programs or activities undertaken in India only shall amount to CSR expenditure.
The Corpus of CSR activity would include the following amounts:
- 2% of the average net profits.
- Any income arising therefrom, and
- Surplus arising out of CSR activity.
CSR expenditure shall include all expenditure including contribution to corpus, for projects or programs relating to CSR activities approved by the Board on the recommendation of the CSR Committee, but does not include any expenditure on any item not in conformity or not in line with activities which fall within the purview of Schedule VII of the Companies Act 2013.
Tax treatment of CSR spent will be in accordance with the Income Tax Act as may be notified by CBDT.
Our Board of Directors, our Management and all of our employees subscribe to the philosophy of compassionate care. We believe and act on an ethos of generosity and compassion, characterised by a willingness to build a society that works for everyone. This is the cornerstone of our CSR policy.
CSR Committee of Board of Dürr India Private Limited will review the policy from time to time based on the changing needs and aspirations of the target beneficiaries and make suitable modifications as may be necessary.