In the Indian context it has been mandatory that a Company having a reasonable size shall contribute not less than 2% of their average net profits during the immediately preceding financial years towards CSR activities. The threshold limit for attaining reasonable size has been fixed as one of the (a) net worth of Rs. 500 crores or (b) turnover of Rs. 1,000 crores or (c) Net profit of Rs. 5 crores. This is in order to give back to the Society in which the Company has grown and made profits.