More funds for Covid-related R&D, Health News, ET HealthWorld
- The government has amended the corporate social responsibility (CSR) rules to include Covid-19 related research and development (R&D) expenditure on new vaccines, drugs and devices.
- Companies can now claim such expenses under CSR if the research is in collaboration with a publicly-funded institution.
- The CSR law mandates companies with net worth of Rs 500 crore and above, or with revenue of Rs 1,000 crore and above, to spend 2% of the average profits of the previous three years on CSR projects.
- Till now expenditure incurred by companies on activities to pursue the ‘normal course’ of their business is not counted as CSR expenditure. Hence, a pharma company could not fund pharma R&D under CSR activity till now. More here