Ministry of Corporate Affairs (MCA) has issued a notification regarding restriction on remuneration payable to Independent directors.
As per the notification, prescribed remunerations are as follows:
| 1 | 2 | 3 | |
| Sl.no. |
Where the effective capital |
Limits of yearly remuneration payable shall not exceed in case of a managerial person |
Limits of yearly remuneration payable shall not exceed in case of other director |
| a. |
Negative or less than Rs 5 crores |
Rs 60 lakhs |
Rs 12 lakhs |
| b. |
Rs 5 crore and above but less than Rs 100 crores |
Rs 84 lakhs |
Rs 17 lakhs |
| c. |
Rs 100 crore and above but less than Rs 250 crores |
Rs 120 lakhs |
Rs 24 lakhs |
| d. |
Rs 250 crores and above |
Rs 120 lakh + 0.01% of the effective capital in excess of Rs 250 crores |
Rs 24 lakh + 0.01% of the effective capital in excess of Rs 250 crores |
Click here for official notification:
Knowledge Source:
Experts Committee Formed for Start-up Seed Fund Scheme