Please advise if a director of a Company incorporated in India is entitled to a remuneration if he is NRI ( Non Resident Indian)?
VINAY MODI (CA Job) (28 Points)
03 April 2013Please advise if a director of a Company incorporated in India is entitled to a remuneration if he is NRI ( Non Resident Indian)?
Kamal Lahoty
(Practising Company Secretary)
(274 Points)
Replied 03 April 2013
Dear Vinay,
Section 309 of the Companies Act does not speak anything about residential status of a Director.
Your Company can very well pay remuneration to NRI Director.
Also check the Remuneration Clause in the AOA of the Company.
CA. Anuj Gupta
(Practices in NRI Int.Tax FEMA TP FDI/FIPB & FCRA)
(7014 Points)
Replied 10 December 2013
Yes, there is no issue under FEMA and Income Tax Act for payment of remuneration to NRI, provided applicable TDS is deducted before payment of any such remuneration.
Anuj
femaqueryu @ gmail.com
CAclubindia
