Significant changes proposed in CSR under Companies (Amendment) Bill 2025

CSR Law
1

The Companies Amendment Bill which is in Parliament for approval proposes 2 significant changes in CSR law

  1. Major reduction in thresholds covering companies under Section 135 as per below
Existing provision Proposed
Turnover Rs. 1000 cr Rs. 500 cr
Net Worth Rs.500 cr Rs.100 cr
Net Profit Rs. 5 cr Rs. 3 cr

This will mean more and more companies will come within the purview of CSR which is a win win for NGOs.

  1. Expert Director in CSR committee: At least one Director should be expert with experience in CSR planning and implementation.

This provision will help NGOs interact more smoothly and for CSR committee to understand the regulatory framework and ground realities in which charitable institutions operate.

Will update once the Bill becomes Act.

CS Sharad Bhargava

2 Likes
2

Thank you for sharing the information. I understand this has come as a “Private Members Bill” in the House. It is important to have Government buy in to ensure that the bill passes in both the houses of the Parliament to become an act

3

The Companies (Amendment) Bill 2025 was introduced by Govt in Rajya Sabha on 5th Dec 2025 and is under consideration and approval by Parliament before becoming Act.

CS Sharad Bhargava