Corporate Social Responsibility In India: Legal Obligation Or Mere Formality?
- IJLLR Journal
- May 30
- 1 min read
Abhinav Silakari, Faculty of Law, GLS University
ABSTRACT
A significant turning point in Indian corporate law occurred when Section 135 of the Companies Act, 2013, made CSR mandatory. In theory, qualified businesses must donate 2% of their average net revenues to designated charitable charities. However, in practice, people continue to question whether this regulation has accomplished much beyond merely adding a new line item to business accounting. This article examines the basis of the CSR law, tracks its evolution through many modifications, and examines compliance statistics to determine whether Indian businesses have truly embraced social responsibility or have only worked out how to check the appropriate boxes. I contend that the current CSR system is precariously caught between being a financial need and a moral obligation, and that this contradiction wasn't accidental and is creating serious issues utilizing legislation, court rulings, legislative debates, and actual statistics. Finally, it suggests administrative and theological changes that may give the mandate real significance.
Keywords: Corporate Social Responsibility, Companies Act 2013, mandatory CSR, Section 135, compliance, India, corporate law, social obligation.
