Remuneration of director

This query is : Resolved

Neetu Gupta (Querist)
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03 February 2012 Can any one please proviade me the Draft Resolution for the payment f Director's Remuneration in any Financial Year.

My mail id is neetu_gupta04@yahoo.co.in

Thanks & Regards

Guest

Guest (Expert)

04 February 2012 IN CASE OF PUBLIC LIMITED COMPANY:

1. Company having profits:-
--Where there is one managerial person - 5% of its net profit
--Where there is more than one managerial person - 10% of net profits for all of
them together.
2. Company having no profits or inadequate profits:- Schedule XIII of Companies
Act, 1956 shall apply.

IN CASE OF PRIVATE LIMITED COMPANY:

There is no limit on Director’s remuneration in case of private company provided the company should have a provision in its articles of association and it is approved by board of directors of the company.

If directors receives any amount from the company other than in the capacity of director i.e. any sum is received over and above managerial remuneration then it is governed by the provisions of section 314 of the companies act, 1956. Provisions of section 314 is not applicable in case of managing director / whole time director.

Guest

Guest (Expert)

04 February 2012 “ RESOLVED pursuant to applicable provisions of the Companies Act 1956 and subject to articles of association Mr.…………, director of the company, be appointed as General Manager (Production) of the company at a monthly remuneration of Rs………….”

“ Further resolved that the remuneration payable to Mr…………. as aforesaid will be subject to such modification as may be required by the Board of Directors and acceptable to the Board of Directors and Mr…………”

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Neetu Gupta

Neetu Gupta (Querist)
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04 February 2012 thank u ma'am