Directors remuneration related

This query is : Resolved 

Avatar

Querist : Anonymous

Profile Image
Querist : Anonymous (Querist)
24 September 2016 Dear Experts,
Section 197 of companies act. Is
not applicable on pvt. Ltd. Companies
Hence private company can provide
The remuneration to its directors as much as they can. My query is... assume xyz pvt. Ltd. Is giving Rs. 3 Lakh PM remuneration to its director weather section 40A(2)(b) of income tax also allow the remuneration of 3
Lakh by private company to its director or not,

Regds
Ankur jeswani

24 September 2016 Director's remuneration is calculated on the basis of companies MOA. If the company is required to get audited under IT act then it should be mentioned as a related party transaction under clause 23 of 3CD as well as in Notes with balance sheet.

Avatar

Querist : Anonymous

Profile Image
Querist : Anonymous (Querist)
24 September 2016 Sir, in my opinion remuneration is calculated on the basis of AOA Not MOA, however if i mention it as party related transaction then it will be allowed by IT deptt. Or not


You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now


CCI Pro
CAclubindia's WhatsApp Groups Link


Similar Resolved Queries


loading


Unanswered Queries



CCI Pro
Meet our CAclubindia PRO Members

Follow us
add to google news



Answer Query



Company
Featured 19 March 2026
Article Assistant

Gupta Sachdeva & Co. Chartered Accountants

New Delhi

CA Final

View Details
Company
Featured 28 March 2026
CA Final

Ashok Amol & Associates

New Delhi

CA Final

View Details
Company
Featured 12 March 2026
Customer Relationship Executive

TAXLET

Calicut

B.Com

View Details
Company
Featured 13 April 2026
GST CONSULTANCY

Abhishek G Agrawal & Co.

Korba

CA Final

View Details
Company
Featured 14 March 2026
Article Trainee

N N V Satish&co

Hyderabad

CA Inter

View Details
Company
Featured 14 April 2026
GST CONSULTANT

Abhishek G Agrawal & Co.

Korba

CA Final

View Details
Company
Featured 14 March 2026
Associate CA

N N V Satish&co

Hyderabad

CA

View Details
Company
Featured 28 March 2026
Accountant

Ashok Amol & Associates

New Delhi

B.Com

View Details