Lok Sabha Question No. 1065 (UNSTARRED), answered on 2015-12-04
Subject: Concessions to Corporate Sector
Ministry: CORPORATE AFFAIRS
Asked by: KRISHNAN NARAYANASAMY RAMACHANDRAN, FEROZE VARUN GANDHI

## GOVERNMENT OF INDIA

## MINISTRY OF CORPORATE AFFAIRS

## LOK SABHA

## UNSTARRED QUESTION NO. 1065 ANSWERED ON FRIDAY THE 4TH DECEMBER, 2015/ AGRAHAYANA 13, 1937(SAKA)

## CONCESSIONS TO CORPORATE SECTOR QUESTION

1065.   SHRI N. K. PREMACHANDRAN: SHRI FEROZE VARUN GANDHI:

Will the Minister of CORPORATE AFFAIRS be pleased to state:

कारपोरेट कार्य मंत्री

- (a) whether the Government has any scheme/plan to measure the utilisation of the funds under Corporate Social Responsibility (CSR), if so, the details thereof;
- (b) whether the Government proposes to extend tax exemptions/concessions to companies who are paying their CSR share on regular intervals, if so, the details thereof along with the details of concessions/exemptions given by the Government during each of the last three years;
- (c)  whether  the  Government  has  conducted  any  study  regarding  employment opportunity  in  corporate  sector  comparing  with  the  relaxations  given  by  the Government, if so, the details thereof;
- (d) the details of rate of growth of corporates in various States during each of the last three years, State/UT-wise; and
- (e) the details of priority sector given by the Government along with other steps taken/being taken to increase the investment in the country?

## ANSWER

THE MINISTER OF CORPORATE AFFAIRS कारपोरेट कार्य मंत्री

(SHRI ARUN JAITLEY)

( श्री अरुण जेटली )

- (a) :   The Ministry of Corporate Affairs has notified Companies (Corporate Social Responsibility Policy) Rules, 2014 (http://www.mca.gov.in), which prescribes the format for disclosure of utilisation of Corporate Social Responsibility (CSR) funds by the companies.

(b) : There are no specific tax exemption/concessions to companies under the Income  Tax  Act,  1961  for  expenditure  incurred  by  companies  towards  CSR. However,  spending  by  companies  on  several  activities  like  rural  development projects, skill development projects, agricultural extension projects, contribution to Prime Minister's National Relief Fund etc., which find place in Schedule VII of the  Companies  Act,  2013,  may  qualify  for  tax  exemptions  under  relevant provisions  of  Income  Tax  Act,  1961  subject  to  the  fulfilment  of  any  specified conditions.

(c) : This  Ministry  administers  the  Companies  Act,  which  does  not  deal  with employment policy of corporates.

(d) : The rate of growth of corporates in various States during each of the last three financial years, State/UT-wise is given in Annex.

(e) : This  Ministry  neither  deals  with  priority  sector  nor  with  the  investment policy of the companies.

*****

ANNEX

Annex  to  reply  to  Lok  Sabha  Unstarred  Question  No.  1065  answered  on  Friday  the 4 th  December, 2015.

| Rate of growth of corporate in terms of number of companies in the registry in various States/UT during each of the last three FYs (State/UT-wise Distribution)   | Rate of growth of corporate in terms of number of companies in the registry in various States/UT during each of the last three FYs (State/UT-wise Distribution)   | Rate of growth of corporate in terms of number of companies in the registry in various States/UT during each of the last three FYs (State/UT-wise Distribution)   | Rate of growth of corporate in terms of number of companies in the registry in various States/UT during each of the last three FYs (State/UT-wise Distribution)   | Rate of growth of corporate in terms of number of companies in the registry in various States/UT during each of the last three FYs (State/UT-wise Distribution)   |
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| Sr. No.                                                                                                                                                           | State/UT                                                                                                                                                          | 2012-13                                                                                                                                                           | 2013-14                                                                                                                                                           | 2014-15                                                                                                                                                           |
| 1                                                                                                                                                                 | Andaman and Nicobar Islands                                                                                                                                       | 8.90                                                                                                                                                              | 14.73                                                                                                                                                             | 11.46                                                                                                                                                             |
| 2                                                                                                                                                                 | Andhra Pradesh                                                                                                                                                    | 7.08                                                                                                                                                              | 7.38                                                                                                                                                              | 9.17                                                                                                                                                              |
| 3                                                                                                                                                                 | Arunachal Pradesh                                                                                                                                                 | 4.94                                                                                                                                                              | 5.67                                                                                                                                                              | 1.40                                                                                                                                                              |
| 4                                                                                                                                                                 | Assam                                                                                                                                                             | 5.19                                                                                                                                                              | 3.71                                                                                                                                                              | 2.11                                                                                                                                                              |
| 5                                                                                                                                                                 | Bihar                                                                                                                                                             | 9.99                                                                                                                                                              | 13.08                                                                                                                                                             | 8.21                                                                                                                                                              |
| 6                                                                                                                                                                 | Chandigarh                                                                                                                                                        | 6.06                                                                                                                                                              | 5.23                                                                                                                                                              | 3.24                                                                                                                                                              |
| 7                                                                                                                                                                 | Chhattisgarh                                                                                                                                                      | 7.41                                                                                                                                                              | 7.53                                                                                                                                                              | 4.35                                                                                                                                                              |
| 8                                                                                                                                                                 | Dadar & Nagar Haveli                                                                                                                                              | 4.19                                                                                                                                                              | 5.80                                                                                                                                                              | 3.15                                                                                                                                                              |
| 9                                                                                                                                                                 | Daman and Diu                                                                                                                                                     | 2.91                                                                                                                                                              | 7.41                                                                                                                                                              | 2.30                                                                                                                                                              |
| 10                                                                                                                                                                | Delhi                                                                                                                                                             | 6.59                                                                                                                                                              | 6.45                                                                                                                                                              | 4.08                                                                                                                                                              |
| 11                                                                                                                                                                | Goa                                                                                                                                                               | 3.99                                                                                                                                                              | 3.51                                                                                                                                                              | 2.15                                                                                                                                                              |
| 12                                                                                                                                                                | Gujarat                                                                                                                                                           | 6.12                                                                                                                                                              | 6.56                                                                                                                                                              | 3.87                                                                                                                                                              |
| 13                                                                                                                                                                | Haryana                                                                                                                                                           | 15.04                                                                                                                                                             | 14.78                                                                                                                                                             | 9.80                                                                                                                                                              |
| 14                                                                                                                                                                | Himachal Pradesh                                                                                                                                                  | 6.43                                                                                                                                                              | 6.66                                                                                                                                                              | 4.47                                                                                                                                                              |
| 15                                                                                                                                                                | Jammu and Kashmir                                                                                                                                                 | 8.81                                                                                                                                                              | 8.85                                                                                                                                                              | 4.63                                                                                                                                                              |
| 16                                                                                                                                                                | Jharkhand                                                                                                                                                         | 10.57                                                                                                                                                             | 12.53                                                                                                                                                             | 7.46                                                                                                                                                              |
| 17                                                                                                                                                                | Karnataka                                                                                                                                                         | 7.34                                                                                                                                                              | 8.14                                                                                                                                                              | 6.39                                                                                                                                                              |
| 18                                                                                                                                                                | Kerala                                                                                                                                                            | 8.12                                                                                                                                                              | 7.99                                                                                                                                                              | 4.32                                                                                                                                                              |
| 19                                                                                                                                                                | Lakshadweep                                                                                                                                                       | 0.00                                                                                                                                                              | 0.00                                                                                                                                                              | 0.00                                                                                                                                                              |
| 20                                                                                                                                                                | Madhya Pradesh                                                                                                                                                    | 8.54                                                                                                                                                              | 7.87                                                                                                                                                              | 4.49                                                                                                                                                              |
| 21                                                                                                                                                                | Maharashtra                                                                                                                                                       | 5.96                                                                                                                                                              | 6.16                                                                                                                                                              | 3.71                                                                                                                                                              |
| 22                                                                                                                                                                | Manipur                                                                                                                                                           | 8.12                                                                                                                                                              | 11.54                                                                                                                                                             | 9.93                                                                                                                                                              |
| 23                                                                                                                                                                | Meghalaya                                                                                                                                                         | 4.22                                                                                                                                                              | 2.77                                                                                                                                                              | 1.91                                                                                                                                                              |
| 24                                                                                                                                                                | Mizoram                                                                                                                                                           | 5.62                                                                                                                                                              | 2.20                                                                                                                                                              | 5.21                                                                                                                                                              |
| 25                                                                                                                                                                | Nagaland                                                                                                                                                          | 6.03                                                                                                                                                              | 4.13                                                                                                                                                              | 2.02                                                                                                                                                              |
| 26                                                                                                                                                                | Odisha                                                                                                                                                            | 9.33                                                                                                                                                              | 7.25                                                                                                                                                              | 4.53                                                                                                                                                              |
| 27                                                                                                                                                                | Puducherry                                                                                                                                                        | 3.25                                                                                                                                                              | 3.39                                                                                                                                                              | 2.55                                                                                                                                                              |
| 28                                                                                                                                                                | Punjab                                                                                                                                                            | 4.81                                                                                                                                                              | 4.97                                                                                                                                                              | 2.86                                                                                                                                                              |
| 29                                                                                                                                                                | Rajasthan                                                                                                                                                         | 8.59                                                                                                                                                              | 8.01                                                                                                                                                              | 3.67                                                                                                                                                              |
| 30                                                                                                                                                                | Sikkim                                                                                                                                                            | 0.00                                                                                                                                                              | 0.00                                                                                                                                                              | 0.00                                                                                                                                                              |
| 31                                                                                                                                                                | Tamil Nadu                                                                                                                                                        | 5.98                                                                                                                                                              | 5.85                                                                                                                                                              | 4.23                                                                                                                                                              |
| 32                                                                                                                                                                | Telangana                                                                                                                                                         | 7.93                                                                                                                                                              | 7.88                                                                                                                                                              | 5.21                                                                                                                                                              |
| 33                                                                                                                                                                | Tripura                                                                                                                                                           | 13.41                                                                                                                                                             | 12.66                                                                                                                                                             | 5.39                                                                                                                                                              |
| 34                                                                                                                                                                | Uttar Pradesh                                                                                                                                                     | 11.97                                                                                                                                                             | 13.20                                                                                                                                                             | 9.15                                                                                                                                                              |
| 35                                                                                                                                                                | Uttarakhand                                                                                                                                                       | 10.33                                                                                                                                                             | 11.20                                                                                                                                                             | 7.15                                                                                                                                                              |

Note: Number of companies as on end March of the year has been taken for computation of year on year growth.

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