CSR expenditure rules require administrative overhead limits and mandate surplus recycling into CSR projects or specified funds. Rule 7 requires that administrative overheads be limited relative to total CSR expenditure and that any surplus from CSR activities not be treated as business profit but be reinvested in the same project, transferred to the Unspent CSR Account, or sent to a Schedule VII fund within the prescribed post year period. Excess CSR spending may be set off against future CSR obligations subject to exclusion of surplus and a board resolution. CSR capital assets must be held by qualifying charitable entities, beneficiary collectives, or public authorities, with transitional compliance timelines.