Meaning of Net Profit in respect to Applicability of CSR provisions.

[Raju Balodi]

Dear All,,

"On every Company having Net worth of Rs. 500 Crore (Rupees Five Hundred Crore) or more, or Turnover of Rs. 1,000 Crore (Rupees One Thousand Crore) or more, or Net Profit of Rs. 5 Crore (Rupees Five Crore) or more during the immediately preceding financial year."

In this regard, please suggest, whether, Net Profit means Net Profit before tax or Net Profit after tax.

Thanks & Regards

Raju Balodi

+0091-9871552114

[R V Seckar]

Net Profit means profit after Tax 

Net profit represents profit remaining after deducting the following: 

• All operating expenses

• Interest

• Taxes 

• Preference share dividends (but not equity share dividends) 

These are deducted from the company's total revenue and provide net profit. 

--
--
************************************************
Mail your comments, feedback and suggestions on CSMysore to Moderator: datta...@gmail.com and Manager: vivekhe...@gmail.com
---
You received this message because you are subscribed to the Google Groups "CSMysore" group.
To unsubscribe from this group and stop receiving emails from it, send an email to csmysore+u...@googlegroups.com.
To view this discussion on the web visit https://groups.google.com/d/msgid/csmysore/CALwmYM7VHr%2BdHFqR3f%2BMji1KJz8M%2BKGey6xrrFWQCi%2BBG7Kedw%40mail.gmail.com.

--

CS R.V.Seckar

Practicing Company Secretary 

Registered Independent Director 

 CP NO:  20565

JIO- 79047 19295

http://rvseckarpracticingcompanysecretary.com

Pl do visit my blogs :

http://www.rvseckarcompanylaw.blogspot.com/

http://rvseckarfema.blogspot.com/

[Ankita Karnani]

tax will not be deducted...

To view this discussion on the web visit https://groups.google.com/d/msgid/csmysore/CAAC6X2yvH6CH5gizHDcnzKN%2BZd_EiWK2xXRRUAbEqf_cCcnE9g%40mail.gmail.com.

[Peer Mehboob]

 The computation of net profit for CSR spend calculation would be based on profit before tax.   You may also refer MCA's MCQs which says that computation of net profit for Section 135 as per Section 198 of the Companies Act, which is NET PROFIT BEFORE TAX. Link: http://www.mca.gov.in/MinistryV2/faq+on+csr+cell.html

To view this discussion on the web visit https://groups.google.com/d/msgid/csmysore/CAPxLifjwG%3DQKdZxa5Y-ny9Z_mjU%3D4y5gszTFcU9BBgajqeOt9g%40mail.gmail.com.

[R V Seckar]

The question does not specify that it meant for CSR calculations . It simply asks what is net profit ?

To view this discussion on the web visit https://groups.google.com/d/msgid/csmysore/CAMVq%3Dv%2B5N939%3DJc-RZE6xus%3D4Y2LbEocT7HrWBNtL3ZgsHsPTw%40mail.gmail.com.

[Peer Mehboob]

Sir, the question asked is  "In this regard, please suggest, whether, Net Profit means Net Profit before tax or Net Profit after tax."

To view this discussion on the web visit https://groups.google.com/d/msgid/csmysore/CAAC6X2xEaipV2DH8-tSS3CG85z-zc0c4uhd%3D0x%3DciqdoBZez7A%40mail.gmail.com.

[VINEET SHARMA]

Always before tax

To view this discussion on the web visit https://groups.google.com/d/msgid/csmysore/CAMVq%3Dv%2BCiri7F12iARWTMaE%3D%3DfWT_baRb8MJjsi-Zn-kFtSfBw%40mail.gmail.com.

[Neha]

Whether the ‘average net profit’ criteria for section 135(5) is Net profit before tax or Net profit after tax?

Computation of net profit for section 135 is as per section 198 of the Companies Act, 2013 which primarily is NET PROFIT BEFORE TAX.

[Raju Balodi]

Thanks All for reverting, Actually my question is about the "Net Profit for the purpose of ascertaining the applicability of CSR"

Regards

To view this discussion on the web visit https://groups.google.com/d/msgid/csmysore/62f9cbee-e8fc-45ca-a269-8e3167831132n%40googlegroups.com.

--

[Rekha Agarwal]

Dear All

Please can any one provide project report for a loan of Rs 20 lakhs

To view this discussion on the web visit https://groups.google.com/d/msgid/csmysore/CAPxLifjwG%3DQKdZxa5Y-ny9Z_mjU%3D4y5gszTFcU9BBgajqeOt9g%40mail.gmail.com.