Society established for CSR, can company avoid 3 year track record requirement if added as member

[Nishtha Jain]

A society was formed for CSR purposes. All shareholders and directors are members of this newly incorporated society. As per implementation Rules of Corporate Social Responsibility Rules, if a society is established by the company, it need not have to have the track record of at least 3 years.

In this case, if we amend the object clause(add incorporated for CSR purposes of the company), as well as add the company as a member of the society. Can this 3 years track record requirement be avoided? No PAN has been acquired and no registration under 80G/12A obtained yet. Society was registered on 7.07.026

AI Summary

CSR implementation eligibility turns on whether a newly formed society can bypass the three-year track record requirement. CSR implementation rules are considered for a newly formed society created for corporate social responsibility purposes. The issue is whether the three-year track record requirement for CSR implementing entities can be avoided by amending the company's object clause and adding the company as a member of the society. The society's lack of PAN and registration under 80G or 12A, together with its recent registration, are noted as relevant to its eligibility under the rule-based framework.