Appointing Director
This query is : Resolved
05 June 2010
Dear Sir/Madam,
I am appointing sleeping director to my company where in he is only investing and having no hold on company other than percentage of net profit.
Kindly help me in making legal documents and appointment letter.
I am appointing sleeping director to my company where in he is only investing and having no hold on company other than percentage of net profit.
Kindly help me in making legal documents and appointment letter.
06 June 2010
There is no concept like sleeping director in the eyes of law. I understand that this person would be only designated as a director. He would not be holding any shares in the company. He will not be taking any decisions. He will only get sitting fees for attending board meetings.
In such case, the person has to be appointed by the board as a director (additional director) and then regularised at the AGM. No legal document other than his consent letter is required.
In such case, the person has to be appointed by the board as a director (additional director) and then regularised at the AGM. No legal document other than his consent letter is required.
06 June 2010
Post such appointment, Form 32 has to be filed with the ROC.
If the company is not a private limited company, then, in case profit is to be shared, then max only 1% of net profits computed in accordance with sec 349 & 350 may be shared. If fixed remuneration is given, then central government's approval is required.
If the company is not a private limited company, then, in case profit is to be shared, then max only 1% of net profits computed in accordance with sec 349 & 350 may be shared. If fixed remuneration is given, then central government's approval is required.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- INTEREST APPLICABLE ON ITC REVERSAL PORTION
- Opting our of sec 44AD
- LC charges in relation to Asset purchased should be Capitalised ?
- Regarding appeal to GSTAT
- Regarding TDS Applicability For Director Remuneration
- Copyright software
- Value of property in capital gain
- Multiple trade mark
- Transporter Declaration form
- SALE OF MOTOR CAR BY REGISTERED INDIVIDUAL
- GST Treatment of Insurance Commission for Existing GST Holder
- Cash gift by grand mother to her grand daughter
- Tax amount diff in Gstr1 and 3B in tax compare reports
- Tds on GST in connection with sale to public company
- Restoration of certificate of practice
- Regarding change in correspondence address in SSP portal
- No Compliences after incorporation
- USEFUL LIFE OF USED/SECOND HAND COMMERCIAL VEHICLES
- Claiming TDS deducted by builder on Hardship compensation and Corpus
- Address Change to another state of a Registered Trust with 12AB approval
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
CAclubindia
