Re-appointment of md / revision in the remuneration
This query is : Resolved
23 March 2012
(a) Can a company re-appoint its Managing Director with effect from 1st April 2012 on a higher scale and prospectively obtain the approval of the shareholders in a general meeting to be held during July 2012.
(b) Can a company pay revised scale of basic pay to its Managing Director with effect from 1st April 2012 and prospectively obtain the approval of the shareholders in a general meeting to be held during July 2012.
In both the above cases, the Company has adequate profits.
(b) Can a company pay revised scale of basic pay to its Managing Director with effect from 1st April 2012 and prospectively obtain the approval of the shareholders in a general meeting to be held during July 2012.
In both the above cases, the Company has adequate profits.
23 March 2012
Hi
(1) Yes you can re-appointment him prospectively and give remuneration accordingly.
You pass general meeting resolution in july for payment of remuneration retrospectively.
(2) Before shareholders approval you can not do so. In July 2012 meeting you pass resolution for payment of new scale (remuneration) with effect from 1st April 2012. But you will not paid such new resolution till shareholders approval.
Regards
(1) Yes you can re-appointment him prospectively and give remuneration accordingly.
You pass general meeting resolution in july for payment of remuneration retrospectively.
(2) Before shareholders approval you can not do so. In July 2012 meeting you pass resolution for payment of new scale (remuneration) with effect from 1st April 2012. But you will not paid such new resolution till shareholders approval.
Regards
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
- Tax on Deemed Capital Gain
- Type of Capital Gain
- Exiting partner in partnership firm in gst portal
- Loss of interest in PF transfer from EPFO to Trust
- Banking Related Issue
- IT returns for fresh job holders
- Grand in aid
- ASMT-10 received from A O
- Taxability of credit in canara bank ET & T section (NRO)
- Traces submitting correction statement error
- Account freezed for Ineligible ITC Scrutiny for GST Annual Return
- TDS on property - Form 141 query
- Seeking Advice: High Tax Shortfall on Job Switch + Let-Out House Property Loss in FY 2025-26
- Housing Society-ITR5
- TDS on Rent received on redevelopment of building
- Indian IT Portal issue in computing tax as per UK-India DTAA
- Capital Gains on sale of residential flat
- Upload Level ValidationITR3Category of Defect B/D
- PF Taxable Income
- Clarification on Tax Audit Applicability and Reporting of F&O Transactions in ITR-3
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
