NISHANT SIPANI
(Finance Controller)
(120 Points)
Hello Friends,
In a Pvt Ltd Co. last year (2010-11) Director remunerations was180000.
This Year co.want to distribute Dir. Rem. upto300000. For that which Resolution should have to be passed.
And which form should be submitted to ROC. Plz suggest procedure.
Thanks in Adv.
mukul mehra
(B.com MBA-HR ADLL CS-Final LLb TCP)
(591 Points)
Replied 30 August 2011
section 309(1) of the Act requires that the remuneration payable both to the executive as well as non-executive directors is required to be determined by the board in accordance with and subject to the provisions of section 198 either by the articles of the company or by resolution or if the articles so require, by a special resolution, passed by the company in a general meeting. Further, Schedule VI of the Act requires disclosure of Director's remuneration and computation of net profits for that purpose.
Shridhi Jain
(Company Secretary)
(1678 Points)
Replied 21 September 2011
In pvt. ltd. co., there is no limit on paying the remuneration to directors. You can pay any amount you want, provided a board resolution shud b passed.
If any changes to b done with the remuneration you r paying to MD, then only form 23 needs to b filed. In other cases, no eform submission is required.
There is no such rules n regulations n no sec. 198, 309 or sch. XIII is applicable.
Thanks
CAclubindia
