There is no provision for Corporate Social Responsibility (CSR) spending by companies in the existing Companies law i.e. Companies Act, 1956. However, the Companies Bill, 2012 incorporates a provision of CSR under Clause 135. Giving this information in written reply to a question in the Rajya Sabha, Shri Sachin Pilot, Minister of Corporate Affairs, said that Clause 135 states that every company having net worth Rs. 500 crore or more, or turnover of Rs. 1000 crore or more or net profit of rupees five crore or more during any financial year, shall constitute a CSR Committee of the Board consisting of three or more Directors, including at least one Independent Director, to recommend its activities for discharging CSR in such a manner that the company would spend at least 2 per cent of its average net profits of the previous three years on specified CSR activities.
Corporate Social Responsibility and the Existing Companies Law
Last updated: 01 May 2013
Follow on
Google News
News posted by
CCI News Desk
Finance news reporter covering taxation, GST, income tax, business compliance, and economy updates. I simplify complex financial topics into easy-to-understand articles for professionals, taxpayers, and business owners on leading finance and tax platforms.
Comments
Recent News :
- MCA Warns Stakeholders Against Fake Calls, WhatsApp Messages and Phishing Scams
- ICAI Inaugurates Global Summit 2026 to Strengthen India's Leadership in Global Capability Centres
- Social Protection Fund Notified as Specified Person Under IT Act 2025 for Tax-Exempt Investments in India
- Centre Revises Excise Duty Rates on Petrol and Diesel Components; Changes Effective from 16th July 2026
- CBDT Notifies Cost Inflation Index (CII) for FY 2026-27 Under Income Tax Act, 2025
- ICAI Keeps Global Networking Guidelines 2025 in Abeyance Until Further Orders
- Direct Tax Collections Rise 16.4% to Rs 6.51 Lakh Crore as on 13th July 2026 for FY 2026-27
- Finance Ministry Empowers DRAT Delhi Chairperson to Decide PNB Appeals
- MSME-MCA Internship Claim False: PIB Advises Citizens Not to Share Personal Information
- FM Sitharaman Reviews RBI Swap Schemes; Banks Report Strong NRI Response to FCNR(B) Deposits
Popular News
- CBDT Condones Delay in Filing Form 10AB for 80G Approval Applications Till 31st March 2026
- CBDT Notifies TDS Exemption on Aircraft Lease Rentals Paid to IFSC Units Under Income Tax Act, 2025
- GSTN Releases FAQs on Mandatory Ship-to Field and Voluntary E-Way Bill Closure 2026
- CBDT Notifies TDS Exemption for Specified Payments to IFSC Units Under Income Tax Act 2025
- ICAI Introduces New Tax Audit Count Tracking Feature on UDIN Portal
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
