Remuneration for directors

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

18 June 2010 Dear Sir/Madam,
Directors of pvt co can get the remuneration as per companies act ceiling.....in a profit making co...how can a director can be benefited apart from remuneration....
My means to say that can director of a pvt co.. can keep profit with himself? if yes how?

Ankur Garg

Ankur Garg (Expert)
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18 June 2010 Hi,

Kindly appreciate strict provisions and ceilings relating to managerial remuneration mentioned in companies act, 1956 are not applicable to a private company.

Hence you are free to give any managerial remuneration to your director in your private company subject to the provisions of your articles.

Regards