Section 135 of the Companies Act, 2013 dealing with Corporate Social Responsibility (CSR) requires companies under its purview to spend at least two percent of its average net profit made in the three immediately preceding financial years to be spent on its CSR policy. Giving this information in written reply to a question in the Lok Sabha, Minister Of Corporate Affairs, Shri Sachin Pilot, said that the corporate sector has not expressed any reservations/ objections for spending towards CSR and as such there is no proposal to change this percentage. He also informed the House that Rules concerning CSR are being finalized under the Act.

Corporate Social Responsibility spending required: companies must allocate a prescribed percentage of average net profit, with rules pending. Section 135 establishes a statutory Corporate Social Responsibility spending obligation requiring covered companies to allocate at least two percent of the average net profit of the three immediately preceding financial years to activities set out in their CSR policy; the corporate sector has raised no objections to the percentage and the Ministry is finalising Rules under the Act.