CSR Audit and Reporting
Facilitation of CSR audits to ensure compliance with statutory requirements, and preparation of detailed CSR reports for stakeholders and regulatory bodiesPlan Overview
CSR Audit and Reporting ensures that companies not only spend on CSR but also report it transparently and under legal requirements. It involves reviewing the effectiveness of CSR activities, verifying expenditures, and ensuring proper disclosures in annual reports and statutory filings like CSR-2.
Non-compliance or incorrect reporting can result in penalties under the Companies Act, 2013. Regular audits and timely reporting help maintain accountability and improve impact assessment.
Services Included
Document preparation
Form filing
Record updates
Government Fees
Documents Required
CSR policy and annual action plan
Details of CSR expenditure (project-wise)
Records of implementing agencies (if any)
CSR-2 form and acknowledgement
CSR disclosures in the Board’s Report
Audit trail of CSR activities and fund utilization
Impact assessment reports (if applicable)
Process
15-20 Days Estimate
Step 1
Prepare CSR-2 Form – Collate details such as CSR obligation, unspent amounts, project details, mode of implementation, etc.
Step 2
Conduct an Internal CSR Audit – Review the financial and operational execution of CSR activities to ensure compliance.
Step 3
Validate Supporting Documents – Verify all agreements, invoices, utilization certificates, and project reports.
Step 4
Board Review & Approval – Ensure that the CSR Committee and the Board review and approve the disclosures.
Step 5
File CSR-2 with MCA – File the CSR-2 form on the MCA portal by the due date (currently 31st March of every year for the previous FY).
Step 6
Disclose in Annual Report – Include mandatory CSR disclosures in the company’s annual report under the prescribed format.
Step 7
Maintain Records – Keep detailed records for future audits and inspections.
Recommended For
Companies mandated to undertake CSR activities under the Companies Act, 2013.
Review
Average Rating4.8