In addition to an organisation’s main aim to maximize profit, they are also obliged to carry out corporate social responsibility. Personally, I agree because it reduces their medical cost and tax liability.
To begin, the implementation of a community service program by the business within its environs will reduce the medical cost incurred by staff. This is because employees of the organisation will benefit from the charity work done, which will reduce their stress level and improve their health conditions. For instance, Exxon Mobil Balyesa revealed that after cleaning the residue of oil spillage from the community river in 2016. It recorded a 70 % reduction in the annual medical expenses. This was attributed to the fact that locals benefited from the use of clean water in their daily lives, which improved their general well being.
Another point to consider, is that carrying out social duties by a business to its immediate environment will be used to reduce the company's tax liability. In other words, by performing a charitable project within the accounting year, the organisation can present records of the cost incurred on the project to the government to obtain a levy rebate. For instance, Dangote groups of Companies obtained 70% tax reduction from Kogi State Government on its taxable profit in 2019 because of the construction of access road to its factory, located at Obajana. Consequently, the company had to pay a reduced tax amount for that year.
In conclusion, along with businesses primary objective of making profit. I agree that, it is necessary for them to perform corporate social duties in other to reduce medical expenses and for reduced tax obligation purposes.
In addition
to an
organisation
’s main aim to maximize profit, they are
also
obliged to carry out corporate social responsibility.
Personally
, I
agree
because
it
reduces
their
medical
cost and
tax
liability.
To
begin
, the implementation of a community service program by the business within its environs will
reduce
the
medical
cost incurred by staff. This is
because
employees of the
organisation
will benefit from the charity work done, which will
reduce
their
stress
level and
improve
their health conditions.
For instance
,
Exxon Mobil
Balyesa
revealed that after cleaning the residue of oil spillage from the community river in 2016. It recorded a 70 % reduction in the annual
medical
expenses. This
was attributed
to the fact that locals benefited from the
use
of clean water in their daily
lives
, which
improved
their general
well being
.
Another point to consider, is that carrying out social duties by a business to its immediate environment will be
used
to
reduce
the
company
's
tax
liability.
In other words
, by performing a charitable project within the accounting year, the
organisation
can present records of the cost incurred on the project to the
government
to obtain a levy rebate.
For instance
,
Dangote
groups of
Companies
obtained 70%
tax
reduction from
Kogi
State
Government
on its taxable profit in 2019
because
of the construction of access road to its factory, located at
Obajana
.
Consequently
, the
company
had to pay a
reduced
tax
amount for that year.
In conclusion
, along with businesses primary objective of making profit. I
agree
that, it is necessary for them to perform corporate social duties in other to
reduce
medical
expenses and for
reduced
tax
obligation purposes.
8Linking words, meeting the goal of 7 or more
8Repeated words, meeting the goal of 3 or fewer
8Mistakes