Know about Companies Act:section 135
Section 135 of the Companies Act of 2013 addresses corporate social responsibility (CSR). It requires companies that meet specific revenue levels to engage in activities related to Corporate Social Responsibility (CSR), and to allocate a minimum of 2% of their net income from the previous three years to these activities. All companies that meet the required thresholds for net worth, turnover, or net profits are required to form a CSR committee and adhere to CSR regulations.Companies that have incorporated under Section 8 of the Companies Act, 2013 for charitable purposes must also abide by the provisions of CSR. Section 135 of Company Act, 2013 mandates companies to spend a minimum of 2% of their net profit on CSR activities.
Section 135 of Companies Act 2013 mandates corporate social responsibility, promoting sustainable development and positive impact on society