Section 183 of Companies Act 2013: Contributions to National Defence Fund
Section 183 of the Companies Act, 2013 gives the Board of Directors, or another person or authority exercising the relevant powers, express authority to contribute company funds to the National Defence Fund or another fund approved by the Central Government for the purpose of national defence. The provision also requires disclosure of such contributions in the company's profit and loss account.
What does Section 183 mean?
The section is part of Chapter XII of the Companies Act, 2013, dealing with meetings of the Board and its powers. It creates a specific statutory route for contributions made for national defence purposes. Unlike an ordinary charitable contribution, a qualifying contribution under Section 183 is governed by the special authority contained in this section.
Section 183 - statutory provision
183. Power of Board and other persons to make contributions to national defence fund, etc.
(1) The Board of Directors of any company or any person or authority exercising the powers of the Board of Directors of a company, or of the company in general meeting, may, notwithstanding anything contained in sections 180, 181 and section 182 or any other provision of this Act or in the memorandum, articles or any other instrument relating to the company, contribute such amount as it thinks fit to the National Defence Fund or any other Fund approved by the Central Government for the purpose of national defence.
(2) Every company shall disclose in its profits and loss account the total amount or amounts contributed by it to the Fund referred to in sub-section (1) during the financial year to which the amount relates.
Who may authorize a contribution?
Sub-section (1) covers the Board of Directors and also a person or authority exercising the powers of the Board or of the company in general meeting. The provision therefore focuses on the authority exercising the relevant corporate power rather than limiting the power only to one named corporate body.
Which funds are covered?
The contribution may be made to the National Defence Fund or to another fund that is approved by the Central Government for the purpose of national defence. A company should verify that any alternative fund falls within this statutory description before treating a payment as a Section 183 contribution.
Effect of the overriding clause
The words "notwithstanding anything contained" give Section 183 overriding operation over Sections 180, 181 and 182, other provisions of the Act, and the company's memorandum, articles or other instruments to the extent stated in Section 183. This distinguishes national-defence contributions from the general regime governing charitable and political contributions.
Disclosure requirement under Section 183(2)
Every company making a contribution covered by Section 183 must disclose the total amount contributed during the relevant financial year in its profit and loss account. The disclosure obligation is mandatory and should be reflected in the company's financial reporting for that year.
Section 183 compared with nearby provisions
- Section 180 deals with restrictions on the powers of the Board.
- Section 181 concerns company contributions to bona fide charitable and other funds.
- Section 182 governs political contributions by companies.
- Section 183 specifically concerns contributions to the National Defence Fund and other Central Government-approved funds for national defence.
Official legal resources
Last reviewed: 17 September 2026. Readers should verify subsequent amendments, notifications and applicable accounting or disclosure requirements before acting on this information.