Din - non executive director-salary- itr form

Tax queries 601 views 4 replies

Arvind

Others

31 Points Posted on 22 February 2014

Sirs and Madams,

A friend of mine has been appointed as a Non Executive Director (w/o Shares) as per the Appointment letter and the Form 32 Says they have filed as Designation of "director" under "professional" category.

He has been Provided a DIN.

He has been provided a TDS and is given Salary. His employement started much before being offered directorship.

What form must he fill his INDIVIDUAL TAX under?

How do we figure out if he is a Non Executive director as per GOV records? Cause the form 32 just says Director. ? But the board resolution says Non Exec Director?

Any help would be appreciated. I might consider consultation too. Thanks

Replies (4)

Mihir

Wealth Manager

5293 Points Posted on 22 February 2014

I think TDS u/s 194J shall apply, and so ITR-4 may be filed.

Wait for more replies.

Arvind

Others

31 Points Posted on 22 February 2014

Originally posted by : Mihir
	I think TDS u/s 194J shall apply, and so ITR-4 may be filed. Wait for more replies.

THanks Mihir for taking the time to reply. But he doesnt own shares nor does the appointment letter say anything about getting any share of profits. He doesnt get anything from profits and has no shares. DOes he still have to file an ITR4? there is no income from business. It is still coming as salaries. Unless your saying, the firm cannot be paying him a salary, then thats a different thing. Which is it?

Mihir

Wealth Manager

5293 Points Posted on 22 February 2014

Since he is a non-executive director, he might be receiving fixed fees instead of a salary, and fees received for directorship is taxable under the head income from business/profession.

Arvind

Others

31 Points Posted on 22 February 2014

Huh? I just said above that he is receiving Salary and there is a TDS and all that. Are you saying that a non executive director who is an employee cannot receive salary? Again, he doesnt own shares.