Donation to charitable trust

Yes as per provision of Section 293(1) (e) of the companies Act the company has to make donation subject to the limits specified in the section.  the provison of relevant clause (e) are given below:

(e) contribute, after the commencement of this Act, to charitable and other

funds not directly relating to the business of the company or the welfare

of its employees, any amounts the aggregate of which will, in any

financial year, exceed 1[fifty thousand rupees], or five per cent, of its

average net profits as determined in accordance with the provisions of

sections 349 and 350 during the three financial years immediately

preceding, whichever is greater.

2[Explanation I.—Every resolution passed by the company in general

meeting in relation to the exercise of the power referred to in clause (d) or in

clause (e) shall specify the total amount up to which moneys may be borrowed by

the Board of directors under clause (d) or as the case may be, the total amount

which may be contributed to charitable and other funds in any financial year

under clause (e).

3[Explanation III].—Where a portion of a financial year of the company falls

before the commencement of this Act, and a portion falls after such

commencement, the later portion shall be deemed to be a financial year within

the meaning, and for the purposes, of clause (e).