Can a company re-imburse a Non-Executive Director's expenses (Eg: Hotel, food, etc) which he has incurred during official work of the Company?
Does it require BOD approval or clause in AOA?
Note:
Thank you Manishji. And yes. Does it add to remuneration, as he is Non-executive Director receiving sitting fees. If the total payment including Sitting fees and reimbursement, crosses Sitting fees limit prescribed, is it violation?
Sitting fees is seperate from remuneration.
Sitting fees is paid to attend a board meeting. The limit of sittign fees has been prsecribed.
Remuneration may include reimbursements.
V.K. Ranjan & Co(Chartered Accountants)
New Delhi
B.Com
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