Dear All,
Aditya Jain (CS) (51 Points)
16 December 2013Dear All,
Syam Kamal
(Company Secretary)
(66 Points)
Replied 16 December 2013
Slab C of Section II of part II will be applicable only to listed companies and subsidiary of listed Company. In that case as per your effective capital, the remuneration can not exceed Rs.350,000. But you can also pay remuneration as per Slab B of Section II of part II with the same amount of remuneration. Notable difference is that when u pay remuneration as per slab C, prior approval of the central government is also required.
I think there is some error occured in the version available in the mca wed site. In the Slab C, it start with saying you can pay remuneration exceeding Rs.4800000 p.a or Rs,400000 per month but as per the slab u can never pay remuneration exceeding Rs.48 lacs p.a.
Responding to your query, it is the maximum amount of remuneration payable to the managerial person subject to the fullfillment of conditions laid down there.
Aditya Jain
(CS)
(51 Points)
Replied 16 December 2013
So, acc. to u, whether there is a violation as Co. if paying remuneration more than rs. 4,65,000/- per month ? If so what is the remedy
Also, it is exceeding 48,00,000/- everywhere & that is not a mistake of MCA.
Syam Kamal
(Company Secretary)
(66 Points)
Replied 17 December 2013
Aditya Jain
(CS)
(51 Points)
Replied 17 December 2013
I want to make one thing very clear to u again that the remuneration of around Rs. 4,65,000/- is paid collectively for 2 Directors.
Individual salary is Rs. 2,00,000/- & Rs. 2,65,000/-
Also when the limits of remuneration is the matter of concern, there is a Notification dated 14.07.2011 stating that we can pay any amount in case of loss also only if he is paid in a professional capacity & he is in no way related to Promoters/Directors.
Syam Kamal
(Company Secretary)
(66 Points)
Replied 17 December 2013
The limit mentioned in schedule XIII is an individual limit.Individual salary of Rs.2,00,000/- & Rs. 2,65,000/- is well within the limits
Aditya Jain
(CS)
(51 Points)
Replied 17 December 2013
One more point to be noted that there is a Notification dated 14.07.2011 stating that we can pay any amount (more than 4 lakhs p.m. & which can run into crores) in case of loss also only if he is paid in a professional capacity & he is in no way related to Promoters/Directors.
Syam Kamal
(Company Secretary)
(66 Points)
Replied 17 December 2013
Only if the Company is a listed company or a subsidiary of a listed Company.
Aditya Jain
(CS)
(51 Points)
Replied 18 December 2013
I don't think it is applicable for listed & its subsidiaries Cos. only
It is applicable for all public Cos. also.
Syam Kamal
(Company Secretary)
(66 Points)
Replied 19 December 2013
Notificaiton no. G.S.R. 70(E) dated 8th February, 2011 has made para C of section II of Part II of Schedule XIII applicable only to listed Companies and subsidiaries of listed Companies.