CSR fund (section 50L)

What it is

Under section 50L of the Income Tax Act, every company, apart from listed exceptions such as Global Business companies, sets up a CSR fund of 2% of its chargeable income of the preceding income year. A share is remitted to the MRA, which passes it to the National Social Inclusion Foundation (NSIF). The company spends the rest itself on CSR programmes in the priority areas, and remits anything unspent with its annual return.

The CSR fund page brings this together. It works out the fund from the chargeable income you enter, the MRA's share for the dates of your income year, the instalments with their due dates, and what you have spent on your own programmes by priority area.

The figures follow the MRA's CSR guidance and the Finance Acts 2025 and 2026 as CorpHands understands them. This is general information, not tax advice: confirm the figures with your tax adviser before filing.

What you can use it for

• Work out the fund: 2% of last year's chargeable income, or your adviser's figure.
• See the MRA's share: 75% up to 2025, 50% for 2026 and 75% from 1 January 2027, time-apportioned when your income year spans a change.
• Follow the remittances to the MRA: with each of the first three APS statements and the annual return under the Advance Payment System, or with the annual return otherwise, with due dates and status.
• Track spending on your own CSR programmes by priority area, and what is left unspent.
• List this year's programmes with who runs them, district, NGO, beneficiaries and the % on the Social Register.
• Download the CSR fund statement (CSV) for your tax adviser.

How to do it

Enter the figures

1. Open CSR fundGo to CSR workspace → CSR fund. The page shows the current income year.
2. Edit the figuresOpen Edit financial figures and enter the chargeable income of the preceding income year, from its income tax return.
3. Adviser's figures and APSIf your tax adviser's fund or MRA share differs, enter it under CSR fund, if different or Amount to remit to the MRA, if different. Tick the Advance Payment System box if you pay tax under APS. Save.

Record remittances to the MRA

1. Read the scheduleRemittances to the MRA lists each instalment with its amount, due date and status.
2. Record a paymentEnter the Date paid, the amount and a Reference (optional), then choose Record a remittance. Payments are matched to the instalments in order.

Track your own CSR programmes

1. Set up programmesEach CSR programme is a programme in the Budget. Click CSR details next to it to set the priority area, whether the company runs it itself or through an NGO, the district, the beneficiaries and the % on the Social Register.
2. Record paymentsRecord each payment in the budget with its receipt. Only paid amounts dated in the income year count.
3. Check the pageCSR programmes run by the company shows spending by priority area, and the warnings list anything to fix, such as spending without a priority area or payments to NGOs not marked verified.

Tips and good practice

• Enter last year's chargeable income at the start of the year, so you know the fund before you plan programmes.
• Employee volunteering does not count toward the CSR fund. CorpHands reports the hours separately, for your annual report and GRI 413.
• Staff welfare and training, activities for shareholders or senior staff, marketing sponsorship, political, trade union or religious causes, government bodies and anything promoting alcohol, tobacco or gambling don't qualify. Keep them out of your CSR programmes.
• Your income year runs from July to June by default. Change it in Settings → Reporting before you record spending, if your company uses a different year.
• Look at the unspent amount in the last quarter, so you can spend it on your programmes or plan to remit it with the annual return.

Questions