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commission to directors

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(Querist)
13 August 2009 What is the maximum rate at which comapny can give commission to directors
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CA Vanesh Nadar

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CA Vanesh Nadar (Expert)
13 August 2009 It is normally as per the contract or as per the articles of assosiation.
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Ankur Garg

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Ankur Garg (Expert)
14 August 2009 But payment of commission is a part of remuneration hence it should not exceed the rmuneration limits mentioned in section 309(3) and (4).

Read section 309 carefully. However if yourcompany is a pvt. co. then there is no limit.

Regards
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