TDS applicability on Rent

Others 6651 views 21 replies

Dear Sir

From reading of section 314 its seems that Payment of Remuneration to Directors Relatives of Rs. 10000/- or more but less than 20000/- , company may be passed at a general meeting of the company held for the first time after the holding of such office or place of profit.

Further for payment of Remuneration of Rs. 20000/- P.M. or not exceeding Rs. 50000/- prior approval of members requires by special resolution before holding of place of profit by Directors Relatives.

 

And if payment to be made to Directors Relative of Rs. More than 50000/- prior approval of central government and members is required.

Sir can you give some concrete view on the  above.

Regards

 

Vasant Patel 

 

 

Replies (21)

Dear Sir

From reading of section 314 its seems that Payment of Remuneration to Directors Relatives of Rs. 10000/- or more but less than 20000/- , company may be passed at a general meeting of the company held for the first time after the holding of such office or place of profit.

Further for payment of Remuneration of Rs. 20000/- P.M. or not exceeding Rs. 50000/- prior approval of members requires by special resolution before holding of place of profit by Directors Relatives.

 

And if payment to be made to Directors Relative of Rs. More than 50000/- prior approval of central government and members is required.

Sir can you give some concrete view on the  above.

Regards

 

Vasant Patel 

 

 

sir  

 

        Pls send me Sample of MOA and AOA Sir

From the Reading of Section 314 I have confusion about following 3  points:

 

01.       Approval of Share holder's approval require subsequently after holding of place of profit by Directors Relative which carry payment of  remuneration of Rs. 10000/- or more but less than Rs. 20000. P.M.

 

02.       Prior approval of shareholders require prior to holding of place of profit  by Directors relative which carry payment of Monthly remuneration of Rs. 20000/- PM or more but less than Rs. 50000/- PM

 

03.       Prior Approval of Members and Central Government  require prior to to holding of place of profit  by Directors relative which carry payment of Monthly remuneration more than Rs. 50000/- P M.

 

Pl clarify about the above three points.

 

Originally posted by : Ankur Garg

Don't worry Lalit.
 
Section 314 is not applicable in your case as none of the director is holding Office or place of profit read with 314 (3).
Malav is correct in his analysis.
 
Regards

From the Reading of Section 314 I have confusion about following 3  points:

 

01.       Approval of Share holder's approval require subsequently after holding of place of profit by Directors Relative which carry payment of  remuneration of Rs. 10000/- or more but less than Rs. 20000. P.M.

 

02.       Prior approval of shareholders require prior to holding of place of profit  by Directors relative which carry payment of Monthly remuneration of Rs. 20000/- PM or more but less than Rs. 50000/- PM

 

03.       Prior Approval of Members and Central Government  require prior to to holding of place of profit  by Directors relative which carry payment of Monthly remuneration more than Rs. 50000/- P M.

 

Pl clarify about the above three points.

 

 

From the Reading of Section 314 I have confusion about following 3  points:

 

01.       Approval of Share holder's approval require subsequently after holding of place of profit by Directors Relative which carry payment of  remuneration of Rs. 10000/- or more but less than Rs. 20000. P.M.

 

02.       Prior approval of shareholders require prior to holding of place of profit  by Directors relative which carry payment of Monthly remuneration of Rs. 20000/- PM or more but less than Rs. 50000/- PM

 

03.       Prior Approval of Members and Central Government  require prior to to holding of place of profit  by Directors relative which carry payment of Monthly remuneration more than Rs. 50000/- P M.

 

Pl clarify about the above three points.

 

Please click on the following link for some information on 314

 

/forum/sec-314-3024.asp

 

regds

 

Deepak

In view of the each of three cases mentioned above and also in light of provisions of Section 314 of the Act, kindly suggest me whether the company is required to file E-Form 24B or special resolution would suffice the requirement of the section.


1. Dr. A, Surgeon by profession, is promoter director in a private limited company. Apart from Director’s Remuneration, he  gets fixed amount of money per surgery performed. His wife is also a Promoter Director along with the same. The  remuneration they get is around Rs. 12 Lacs and Rs. 6 Lacs respectively and the amount of fees for surgery performed  is around Rs. 30 Lacs.


2. The premises is given on rent by two persons from his family and they get a rent of Rs. 7.5 Lacs equally.


3. Dr. A is also a partner in M/s XYZ, along with B, C, D. He gets income from the said firm also. Vice a versa these three partners also gets professional fees from this hospital. Each one getting more than 6 lacs.


.
 

To Ankur Sir, 

 

In view of the each of three cases mentioned above and also in light of provisions of Section 314 of the Act, kindly suggest me whether the company is required to file E-Form 24B or special resolution would suffice the requirement of the section.

1. Dr. A, Surgeon by profession, is promoter director in a private limited company. Apart from Director’s Remuneration, he  gets fixed amount of money per surgery performed. His wife is also a Promoter Director along with the same. The  remuneration they get is around Rs. 12 Lacs and Rs. 6 Lacs respectively and the amount of fees for surgery performed  is around Rs. 30 Lacs.

 

 

2. The premises is given on rent by two persons from his family and they get a rent of Rs. 7.5 Lacs equally.

 

 

3. Dr. A is also a partner in M/s XYZ, along with B, C, D. He gets income from the said firm also. Vice a versa these three partners also gets professional fees from this hospital. Each one getting more than 6 lacs.

please suggest asap.

 


CCI Pro

Leave a Reply

Your are not logged in . Please login to post replies

Click here to Login / Register