Sec 297 & 314 combined applicablility
This query is : Resolved
23 July 2012
A relative of director is appointed by the Board to hold place of profit at a monthly remuneration not exceeding Rs.8000/-. As per Sec 314 this does not require approval of EGM or Central Government. The company is public limited and is having capital Rs.10 crore.
The query is: whether we need to obtain approval of Central Government u/s 297 for availing the services of such relative of director.
As per circular 13/75 of 1975 the professional services of advocates/ solicitors who are relatives of directors have been exempted from the purview of sec 297.
Could somebody pls clarify whether Central Govt approval u/s 297 is required if:
- the appointee is not professionally qualified
- the appointee is professionally qualified
The query is: whether we need to obtain approval of Central Government u/s 297 for availing the services of such relative of director.
As per circular 13/75 of 1975 the professional services of advocates/ solicitors who are relatives of directors have been exempted from the purview of sec 297.
Could somebody pls clarify whether Central Govt approval u/s 297 is required if:
- the appointee is not professionally qualified
- the appointee is professionally qualified
Ajay Mishra
(Expert)
23 July 2012
Hi
It has been clarified by the Central Government that where facts and circumstances of a case require approval under section 269, 314(1B), 294AA and also under section 297, approval under section 269, section 314(1B) or section 294AA would be enough and n separate approval under section 297 would be required.
It has been clarified by the Central Government that where facts and circumstances of a case require approval under section 269, 314(1B), 294AA and also under section 297, approval under section 269, section 314(1B) or section 294AA would be enough and n separate approval under section 297 would be 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
- Late Filing Fee Waiver for Q1 Form 144 (Earlier 27Q) – Transition to Income-tax Act, 2025
- GST input credit on commercial property
- GSTR-9C filing
- GST ITC as per notification 12/2023- central tax
- Urd purchase entry in tally prime
- IMS (import of goods) ITC related
- Capital Gains Tax on Inherited Mutual Fund
- Royalty payments to the Mining Department for procurement of murum - GST input
- Gift to nri relatives residing in usa
- Applicability of tax on invoice
- Ito add credit side of bank
- Employee secondment
- GSTR9 Annual Return
- LLP audit and disclosure
- Subject: Legal Remedy for Removal of Income Tax Demand for AY 2024–25 – Charitable Trust
- Expert Help Required for TDS Refund 100000 Through TRACES – AY 2022–23
- IMPORT PURCHASE ENTRY PASSED IN BOOKS OF ACCOUNT
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Regime change
- Tally: Imported bank entries do not show up in manual reconciliation
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
