How can a director/md withdraw money from pvt ltd curr acct

There is no provision in company's Act. or in Income Tax law to withdraw any amount from the company for personal use.

 

YOU TAKE ADVANCE REMUNERATION , YOU CAN ADJUST THE SAME WITH YOUR FUTURE REMUNERATION . YOU TAKE LESS AMOUNT TO THAT EXTENT, MEANWHILE YOU CAN ALSO PASS RESOLUTION FOR INCREASE IN DIRECTORS REMUNERATION.

Salary is only way as otherwise it will attract provisions of The Companies Act 2013

There are some exception to section 185 of companies act 2013 relating to loan given to directors, in case if your company falls under that category u may take loan by filing appropriate resolutions with the ROC...so please refer those exceptions.

Recently there has been an amendment in companies act exempting pvt companies from various clauses. Considering the closely held nature of many pvt companies one such exemption provided is with respect to section 185. Existing position Section 185 of the 2013 Act prohibited companies from advancing loans to directors and to persons in whom directors are interested or give any guarantee or provide any security in connection with any loan taken by him or such other person, a few exceptions aside. Revised position under the Notification The Notification currently provides that Section 185 shall not apply to a private company satisfying all of the following conditions: No body corporate shall have invested any money in the share capital of the company; and The borrowings of the company from banks, financial institutions or any body corporate shall not not exceed twice the amount of paid-up share capital or INR 500 million – whichever is lower; and There shall be no subsisting defaults in repayment of such borrowings at the time of making transaction.

But it is seen that directors monetory growth goes up with the growth of the organisation......then how they withdraw money for personal use??????

Can they sell their own car to the company... if they have and take money from account. Is it possible?. Because they are the director of the company ultimate they are going to use that same car.

what is the maximum withdrawal salary from private limited company

I am a director of a pvt ltd (Two directors me and my wife), I have retained profit of my company every year in reserve and surplus account, so we can withdraw whole reserve and surplus amount from company.

You can distribute dividends,Dividend distribution tax is the tax imposed by the Indian Government on Indian companies according to the dividend paid to a company's investors. At present, the dividend distribution tax is removed by government in financial annual statement 2020 Dividend income becomes taxable in receiver's hands