M d remuneration

This query is : Open

Querist : Anonymous

Querist : Anonymous (Querist)

07 December 2011
What will be the MD remuneration for Public Limited Company Which is Paid Up capital is more than Rs.5 Crore and the company is in profit?

Can we give Monthly Remuneration Rs.4Lac or more than Rs.4Lac?

If Central Government approval is required then What is the procedure to take approval?

CS Ankur Srivastava

CS Ankur Srivastava (Expert)
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07 December 2011 You have to calculate the effective capital of the company which consist paid up capital + reserves + loan term deposits.

You have to follow schedule XIII.

For the remuneration of 4 lacs or more you have to obtain the Central Government approval and for this Form 25A is required to be filed within 90 days of the Appointment.

Message likes : 1 times

Guest

Guest (Expert)

08 December 2011 How the ceiling of 11% of net profit in the manner laid down in section 349 and 350 is calculated?

What are the things which are added and deleted from net profit to calculate 11 % ceiling.

Pls elaborate with illustration.

Many Thanks.

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