Salary to director's wife

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

23 February 2012 Can We pay the salary to direcotrs wife who is also shar holder in the private limited company but not having active interest ?

Yogesh Agarwal

Yogesh Agarwal (Expert)
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23 February 2012 It is not necessary that a director must be a shareholder of the company. If the director's wife is a director and engaged into the affairs of the company as a director she can be paid director remuneration. A minimum qualification shares may be required to be held by director if so provided in the AOA of the company ...

Guest

Guest (Expert)

23 February 2012 Yes, salary can be paid but it should ideally be communsurate with her qualification and experience so that there are no income tax assessment hassle.

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