Appoinement of a director as executive director

Dear Friends,

My question is what is the difference between an executive Director drawing Director remuneration and a whole-time director getting remuneration.

Because if there are two relatives are directors in a company each drawin remuneration above Rs. 10000/- per month is section 314 is attracted?

However, section 314 is not applicable for appointment of MD, WTD or manager.

Replies (1)

Normally MD/WTD whether drawing salary or not are considered as executive director. Rest of the directors are considered as Non-executive directors. Promoters of the company are not executive director automatically.

 

Hence there is no difference between an executive Director drawing Director remuneration and a whole-time director getting remuneration.

 

In your case section 314 is not attracted presuming that they are not drawing anything over and above the remuneration they are entitled to i.e. Rs. 10,000.

 

Regards

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register  

Company
ARTICLESHIP 01 September 2026
Articles

Saini Pati Shah & Co LLP, Chartered Accountants

Mumbai

CA Foundation

View Details
Company
ARTICLESHIP 07 September 2026
Article/ Paid Assistant

Murali and Sumeet Chartered Accountant

Bengaluru

CA Foundation

View Details
Company
ARTICLESHIP 16 September 2026
Article Assistant

MANUJ SHARMA AND COMPANY

Noida

CA Inter

View Details
Company
04 September 2026
CA inter Or ca finalist

A Jaiswal and company

Lucknow

CA Final

View Details
Company
ARTICLESHIP 04 September 2026
Accounts Executive

Hema Yashwanth & Associates

Chennai

B.Com

View Details
Company
ARTICLESHIP 16 September 2026
CA Article Trainee

SR BAGAI & Co.

New Delhi

CA Inter

View Details
Company
ARTICLESHIP 07 September 2026
CA Articles

Kothari Jain Patil & Chartered Accountants

Pune

CA Inter

View Details
Company
ARTICLESHIP 18 September 2026
Industrial Trainee

Twenty Point Nine Five Ventures Private Limited

Noida

CA Inter

View Details