Today, Corporate Social Responsibility is play an important role in the society. It helps in development of society. There are many companies in India, who are doing the CSR.India is one of the country in the world, who have law related to CSR. Corporate Social Responsibility means “the responsibility on the company for the development of society” and in other words we can say that the burden of development of society on the companies as a legal obligation. If company don’t spend money in the CSR activities,  they need to give reasons of not doing the activities to the Ministry of Corporate Affairs.

The Companies act, 2013 have made law relating to CSR and section-135 of the act deals with CSR. The CSR activities is mention under schedule – 7 of the act, 2013. Schedule 7 of the companies act, 2013 is help the companies to know the CSR activities. The provision is applicable on the companies, whose annual turnover of Rs. 1000 crore and more  or a net worth of Rs. 500 crore and more or a net profit of Rs 5 crore and more. This is mandatory for the companies on which comes under the purview of section-135 of companies act, 2013. The Companies need to establish the CSR committee and it is the duty of the board of Companies to form a CSR activities and also give approval for CSR policy. The CSR committee should be consisted of board members and it’s include one independent director. The CSR committee will be responsible for the companies CSR activities. It also keeps record of expenditure on CSR activities and also monitor CSR policy from time to time.The companies act, 2013 also encourages companies to spend minimum  2 % of average net profit on CSR  activities. In last, all the spending by the company on CSR activities should be maintain record of it.

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