October 9, 2014
1. National Advisory Committee on Accounting Standards -
- In exercise of the powers conferred by sub-section (1) of section 210A of the Companies Act, 1956, the Central Government has decided to constitute an Advisory Committee to be called as the National Advisory Committee on Accounting Standards, which will advise the Central Government on the formulation and laying down of accounting policies and accounting standards for adoption by companies or class of companies under the said Act.
- The Chairperson and members shall hold office for a period of one year from 18th September, 2014 i.e date of publication in the official gazette or till the constitution of National Financial Reporting Authority under section 132 of the Companies Act, 2013, whichever is earlier.
- In the Companies (Corporate Social Responsibility Policy) Rules, 2014, in rule 4 [CSR Activities], in sub-rule (6), after the words “but such expenditure” the words “including expenditure on administration overheads” shall be included. Therefore, the amended sub-rule (6) would read as follows- Companies may build CSR capacities of their own personnel as well as those of their Implementing agencies through Institutions with established track records of at least three financial years but such expenditure “including expenditure on administration overheads” shall not exceed five per cent of total CSR expenditure of the company in one financial year.
- These rules may be called the Companies (Corporate Social Responsibility Policy) Amendment Rules, 2014.
- They shall come into force from 12th September, 2014 i.e the date of publication in the official gazette