Associating with BBB under CSR activities
As Per Section 135 of the Companies Act 2013, large companies are expected to spend 2% of average net profits towards Corporate Social Responsibility Projects.
According to the companies act, firms with net worth of ₹500 crore or more, or turnover of ₹1,000 crore or more or net profit of ₹5 crore or more, are required to spend 2% of average net profit of the preceding three years on corporate social responsibility activities.
These include initiatives that would have social, economic and environmental impact or a way to give back to the society, such as promoting gender equality, empowering women, promoting education, eradicating hunger, poverty, malnutrition, rural development projects, conserving natural resources, among others.
"Now CSR 2% fund can be spent on incubators funded by central or state government or any agency or public sector undertaking of central or state government and making contributions to public funded universities, IITs, national laboratories and autonomous bodies (established under the auspices of ICAR, ICMR, CSIR, DAE, DRDO, DST, Ministry of Electronics and Information Technology) engaged in conducting research in science, technology, engineering and medicine aimed at promoting SDGs (sustainable development goals)"
- Nirmala Sitharaman (Minister of Finance and Minister of Corporate Affairs)