Corporate Social Responsibility in India

The full form of CSR is Corporate Social Responsibility. In simple words, it is a law in India for corporates to participate in activities that help upliftment of society or the needy in society.

Corporate Social Responsibility has become mandatory through the provisions under Section 135 of the Companies Act, 2013. Even some companies were actively participating in CSR activities way before it became the law in the country.

But all companies registered in India do not come under CSR, small-sized companies with very limited earnings are not obliged to spend on CSR.

Any private or public company qualifies for CSR with either of the below-mentioned points:

• Company with a net worth of Rs. 500 crores or more

• A company with a turnover of Rs. 1,000 crores or more

• If the company’s net profit is Rs. 5 crores or more during any financial year

• The companies who qualify for CSR have to spend a minimum of 2% of the average net profits made during the 3 immediately preceding financial years.

Providing safe drinking water, training to promote rural sports, nationally recognized sports, the establishment of public libraries or the establishment of orphanages and hostels are a few of the activities the companies can choose to be compliant with CSR.

Here is the list of top companies

Explore Company360 – India’s most comprehensive business research tool