Tax challenges of CSR trust during Pandemic

I am a CSR trust of a company whose main purpose is to serve society. During this pandemic era, I am also required to help people in need and I am doing that. However, while performing my duty I found a few challenges and some of them are mentioned below.

·         There is a  huge demand for oxygen concentrator and other medical equipment's during this Pandemic and when I purchase a few pieces of equipment's to help people, I am required to pay GST @ 12 percent on this.  I want to buy more equipment's for the needy people but my ability to buy has been reduced due to the charge of GST on this equipments. I am unable to understand for the government why GST on this covid life-saving equipment’s is so necessary. 

 

·         There is a shortage of medical equipment's in the country and the same now required to be imported from other countries. I can fund the purchase of equipment's and the same being sent to India by the vendor. Now I am required to do all customs formalities including payment of custom duty. Again this reducing my ability and I left with the same question from the government.

 

·         The number of families lost their bread earner. There is no one to take care of them. I want to help a few of them financially and decided to provide one-time financial assistance to them. I find surprised that the recipient now requires to pay income tax on the financial aid provided by me.   

 

·         I am trying my best to serve the needy people during this pandemic crisis with my limited resources and now find that I am required to apply for new registration with several documents before the income tax department before June 30, 2021. There is a complete lockdown in the country and I am finding it very challenging to do all this in the current situation.   

 

Like me, all other CSR trust are facing similar challenges.  The government must appreciate the important role of CSR trust during this pandemic and accordingly could have eased the situation by removing the above-mentioned obstacles. I am hopeful that government will soon issue directions to remove the challenges of CSR trust and same enable me to serve more to society during this pandemic.