The concept of ‘Corporate Social Responsibility’ (CSR) has today become a peculiar aspect of business philosophy and practice in the world economy. CSR has been part of Indian business for long time. There have been efforts both on the part of business community and government to make responsible business practices on part of our business ethics. The changing factors such as globalization of economy, environmental concern and social issues have contributed to an enhanced level of concern and commitment to the idea of corporate social responsibility. As for as the government’s initiatives are concerned, these are reflected in the new Companies  Amendment Act passed in 2013, efforts are in tune with the global practices to make CSR as a part of the corporate strategy and a tool for attaining and sustaining competitive edge in the market place. The proposed paper attempts to analyze the impact of net profit on CSR contribution, to throw light on CSR initiatives of SBI, to make CSR a part of corporate functioning in the country and the emerging trends in Indian business sector which look CSR as a tool for competitive strategy. The study was found that insignificant correlation between Profit after Tax (PAT) and CSR with the correlation coefficient being 0.038.Further this was found that PAT has not affected the CSR contribution. Keeping the findings of the study it has been suggested that there are many other variables responsible to CSR contribution.  Further, it has been recommended that banks ought to follow increasingly compulsory consistence of Companies Amendment Act and SEBI listing rules.

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Keywords: CSR, Compliance, Governance, Legal, PAT, SEBI.