Form CSR-1 Filing for registration to undertake CSR Activities

Filing of Form CSR-1 with the Registrar of Companies (MCA) for registration of entities for undertaking CSR Activities:

Form CSR-1 is required to be filed pursuant to Section 135 of the Companies Act, 2013 and Rule 4 (1) and (2) of the Companies (Corporate Social Responsibility Policy) Rules, 2014 as amended/substituted by the Companies (Corporate Social Responsibility Policy) Amendment Rules, 2021.

Responsibility of the Board of Directors of the Company:

In accordance with Rule-4, sub-rule 1 of the Companies (Corporate Social Responsibility Policy) Amendment Rules, 2021:

The Board shall ensure that the CSR activities are undertaken by the Company itself or through –

(a) a Company established under section 8 of the Act, or a registered public trust or a registered society, registered under section 12A and 80 G of the Income Tax Act, 1961 (43 of 1961), established by the Company, either singly or along with any other Company, or

(b) a Company established under section 8 of the Act or a registered trust or a registered society, established by the Central Government or State Government; or

(c) any entity established under an Act of Parliament or a State legislature; or

(d) a Company established under section 8 of the Act, or a registered public trust or a registered society, registered under section 12A and 80G of the Income Tax Act, 1961, and having an established track record of at least three years in undertaking similar activities.

Mandatory registration for every entity, covered under sub-rule (1):

In accordance with Rule-4, sub-rule 2 of the Companies (Corporate Social Responsibility Policy) Amendment Rules, 2021:

(a) Every entity, covered under sub-rule (1), who intends to undertake any CSR activity, shall register itself with the Central Government by filing the form CSR-1 electronically with the Registrar, with effect from the 01^st day of April 2021:

Provided that the provisions of this sub-rule shall not affect the CSR projects or programmes approved prior to the 01^st day of April 2021.

(b) Form CSR-1 shall be signed and submitted electronically by the entity and shall be verified digitally by a Chartered Accountant in practice or a Company Secretary in practice or a Cost Accountant in practice.

(c) On the submission of the Form CSR-1 on the portal, a unique CSR Registration Number shall be generated by the system automatically.

Important Points with respect to filing Form CSR-1:

1. Form CSR-1 is required to be filed with the Registrar of Companies, with effect from the 01^st day of April 2021.

2. In case of entity is established by any Company or group of companies, maximum 5 CIN(s) of such companies can be provided in the Form.

3. Email id of the entity is required to be entered and the same will be verified by One Time Password (OTP).

4. The Facility to send OTP will be enabled only after successful Pre-scrutiny of the form.

5. The OTP can be successfully sent to the email ID against one form, for a maximum of 10 times in one day. OTP shall be valid for a span of 30 minutes.

6. For further chances, you may download a fresh form on the same day or try next day.

7. While entering the details of Directors/ Board of Trustees/ Chairman/ CEO/ Secretary/ Authorized Representatives of the entity, ensure that DIN or PAN must be valid and associated with the entity.

8. Maximum of 10 rows shall be available for entering the details of Directors/ Board of Trustees/ Chairman/ CEO/ Secretary/ Authorized Representatives of the entity.

9. Mandatory attachments:

• Copy of Certificate of Registration of entity; and
• Copy of PAN of entity.

10. Ensure that the form is digitally signed by:

• The Director in case of a Section 8 Company (Disqualified Director should not sign the form)
• One of the Trustee/ CEO in case of Registered Public Trust
• Chairperson/ CEO/ Secretary in case of Registered Society
• Authorized Representative in case of entity established under an Act of Parliament or State Legislature

11. Ensure the e Form is digitally signed by a Chartered Accountant/ Cost Accountant or Company Secretary in whole-time practice.

12. The Form will be processed in STP mode.

Email & Immunity Certificate:

When a Form is successfully processed, an acknowledgement of the same will be sent to the user in the form of an email to the email id of the entity. Further, a digitally signed approval letter along with CSR Registration number with Format CSRXXXXXXXX where X represents system generated unique sequential number will be sent to the FO User as well as the email ID of the entity as entered in the form.

The following documents can be obtained and verified by the practicing professional:

1. Trust deed of the entity.

2. Certificate of Incorporation in case of Section 8 Company.

3. Society Registration certificate in case of Society.

4. Registration with State Public Trust Act, if any.

5. Valid Certificate u/s 12A issued by the Director of Income Tax (Exemption).

6. Valid Certificate u/s 80G issued by the Commissioner of Income Tax (Exemption).

Important Points with respect to certification of Form CSR-1:

As per the Certificate by Practicing Professional:

• The Practicing Professional should obtain an engagement letter for the certification of Form CSR-1 from the entity.
• The documents (including attachment(s)) should be verified from the original/certified records maintained by the Company/ applicant before affixing the digital signature certifying the CSR-1 Form.
• Ensure that the records have been properly prepared, signed by the required officers/ authorized representatives of the entity and are in order.
• All the required attachments are completely and legibly attached to form CSR-1.
• The Practicing Professional shall be liable for action under Section 448 of the Companies Act, 2013 for wrong certification.

DISCLAIMER: The views expressed are strictly of the author. The contents of this article are solely for informational purpose. It does not constitute professional advice. The author does not accepts any liabilities for any loss or damage of any kind arising out of any information in this article nor for any actions taken in reliance thereon. 

Author can be reached at csgauravwalekar@gmail.com for any queries, issues & recommendations relating to article.