Companies get more details on CSR tax payment options |15 October 2013

Owners and representatives of companies eligible to pay the Corporate Social Responsibility (CSR) Tax, last week learned more of the possibilities under the CSR to donate half of their tax money directly to eligible organisations.

The meeting was organised by two non-government members of the CSR Tax committee set up by government earlier this year after the CSR was introduced, namely Nirmal Jivan Shah of Nature Seychelles and local consultant and representative of Seychelles Chamber of Commerce and Industry (SCCI) Peter Roselie.

The meeting sponsored by Hunt Deltel & Co. Ltd was launched by SCCI vice-chairperson Dolor Ernesta while Dr Shah presented the general aspects of the CSR Tax and Mr Roselie provided details on the procedures of applying and donating under this tax regime.

Kerstin Henri, an economist and project manager from the non-governmental organisation sector, provided examples of projects that can benefit from the CSR Tax.

In order for a business to be able to pay this tax, it needs to have a turnover of R1 million or more monthly on which the CSR is payable at 0.5% every month. But businesses can choose to donate 0.25% of the tax directly to community projects and civil society organisations.

During the meeting the organisers focused on that particular aspect and how it could be done.
 
“The aim is to dispel the myths surrounding the CSR tax and explain to companies the options to channel their money under the CSR and also explain the different procedures and guidelines of the CSR,” said Mr Roselie.

He noted that all related issues and concerns raised by the different companies are very relevant and will be analysed by the CSR committee.

The meetings are being held with different sectors such as the National Arts Council, National Sports Council, and are also expected to be held on Praslin and La Digue.

The committee also has the mandate to issue a certificate to organisations which can benefit from the CSR.

Mr Shah explained that any organisation which wants to receive a donation under the CSR from a company should write to the CSR committee chaired by the principal secretary for finance Patrick Payet providing all its details for approval before being sent to the Ministry of Finance, Trade and Investment for certificate consideration.

Meanwhile, he pointed out that it is advisable for individuals who want to benefit under the CSR through a form of sponsorship or financial help for a cause, to do so through a ministry, an organisation, federation or other recognised bodies.

Mr Shah noted that there are a lot of questions from both companies and organisations which want to benefit from the CSR and the committee is doing its utmost to answer questions and clarify doubts associated with the tax.