CORPORATE COMPLIANCE WITH CSR UNDER SECTION 135 OF THE COMPANIES ACT, 2013: A LEGAL AND GOVERNANCE ANALYSIS

Corporate Social Responsibility (CSR) refers to the obligation of business organisations to operate ethically while contributing to social welfare, environmental sustainability, and economic development. In India, CSR has evolved from voluntary and philanthropic practices into a mandatory corporate governance requirement with the enactment of Section 135 of the Companies Act, 2013. The present study examines corporate compliance with statutory CSR provisions and the role of governance mechanisms in shaping CSR implementation and reporting practices. Adopting a descriptive and analytical research design, the research analyses secondary data from official CSR sources for the period FY 2014–15 to FY 2023–24 to assess CSR applicability, expenditure patterns, and average CSR spending per company. The findings indicate a steady expansion in CSR-eligible companies, a substantial increase in total CSR expenditure, and rising firm-level CSR spending, reflecting strengthened compliance and governance maturity. On the basis of findings, the study substantiates that mandatory CSR has been effectively embedded within India’s corporate governance framework, signalling a transition from philanthropic voluntarism to legally anchored and accountable corporate responsibility.