AN OVERVIEW OF CORPORATE SOCIAL RESPONSIBILITY.

Abstract

The present study is based on section 135 of companies Act 2013. This section explains the concept of Corporate Social Responsibility (CSR). The main highlight of the study is the companies which are coming under the CSR policy and what are penalties which are imposed on the companies which are providing wrong financial statement. The profit maximization is the ultimate goal of the company but this CSR policy imposes duty on the Corporate to work for the benefit of the society. This duty should be done by the Corporate sector not as the burden imposed by law but as a long term investment which will provide them benefit in the future.CSR is the Corporate Social Responsibility. Section 135 of the Companies Act 2013 gives brief description of Corporate Social Responsibility. Earning profit is the ultimate goal of carrying on a business, but the CSR policy imposes on every Corporate whose net worth is 500 crores and turnover of Rs 1000 crores and net profit of 5 crores or more shall constitute a Corporate Social Responsibility committee. Corporate sector requires capital, land and labour which are taken from the society. The Corporate sector should not only take from the society but also give in return to the society. By investing in CSR there will be bond between the Corporate and the society. If the Corporate sector only takes from the society then there will be imbalance in the society. The development of the society is not the ultimate goal of the government but also of the corporate sector by investing in CSR. There should be give and take relation between the Corporate and the society. The Corporate while investing in CSR has to think that they are investing in a long run and not the duty which is imposed by the law. Need of the Study:-To simplify section 135 of the Companies Act 2013.