As we are familiar with the law is every private company should have at least two directors and the public company should have at least three directors. Along with lots of compliances sometimes director’s changing, appointing or removal of directors can take place. So that is why in this article we are going to know about all the procedure of removing the director from the company.
Companies need to remove directorship for some of their own reasons or something could be related by the other. There we are mentioning few of the cases which are often take place in the companies
Where the directors gives their resignation
Which directors are interested in resigning to their post of director they must have to submit the resignation to the board. Then afterward these following steps will be taken In order to remove his name from the register of director.
• By giving seven days of clear notice then the company will hold a Board meeting, the meaning of clear notice is 21 days notice and those 2 days are including in this on which the notice have sent and received.
• On the day of board meeting all the director will have discussion and decide that whether the notice should accept or not.
• After accepting the resignation of the director they have to pass a Board resolution accepting the resolution in the format.
• After passing the resolution form DIR -11 have to file by the director who wants the resignation along with the board resolution, a copy of the resignation letter and the proof of delivery of the resignation letter.
• While filing of the form DIR-11 is the responsibility of the director, and filing of the form DIR-12 is the responsibility of the company which has to be filed by the registrar of the company and the document should have is resignation letter and Board resolution.
• Once the form will be filed you will get the name removed of the resigning director on the master data of company on the website of Ministry of corporate affairs(MCA)
Remove a director Suo-moto by the board
A company has the authority to remove the director by passing the ordinary resolution.
- First the board meeting will be held by the director by giving the seven day of notice and informing about the removal of director.
- After that a board meeting will be held by the directors and along with the resolution for the removal of director subject to approval of the shareholder
- After the 21 days clear notice general meeting will be held and in that meeting the member will be asked to vote. On the basis of the vote resolution will be passed.
- Before the passing of the resolution a chance of be heard will be given to the director.
- Once the resolution has passed DIR-11 and DIR-12 will be filed and necessary document will be attached.
- After that the name of that director will remove on the website of ministry of corporate affairs.
If the director does not attend 3 board meetings continuously
According to the section 167 of the companies act 2013, if the director does not attend the board meeting for 12 months from the date of first board meeting in which the director has absent and including the giving due notice for the meetings. It will be suppose that the director has vacated the office and a form DIR-12 will be filed on his name and the name of that director will be removed on ministry of corporate affairs.
Aadhar is known as the identity of a particular person all around India. Aadhar is nothing but the number which use to issue to the person who apply for that whether online or offline and this 12 digits of Aadhar number is always get to see differ from each other as it is made for identity. So now we are going to get introduced by the new update by the government which is a newly introduced on the website (UIDAI), on this website there are many forms are available for the convenience of the customer and they can choose any of that according to the desire but here we are going to know about all the features of Aadhar PVC.
What is Aadhar PVC?
Latest Aadhar PVC have various benefits which is, it is more convenient to carry into the wallet as it has made as the size of ATM and debit card, it is secure , durable, easy to carry and quickly verifiable by offline, it have digital singed on the card with photograph and QR code.
There are also lots of feature of PVC card for the purpose of the security card. And those security features are given below.
- Secure QR code
- Micro text
- Guilloche Pattern
- Ghost image
- Embossed Aadhar logo
- Issue date and print date
How to apply Aadhar PVC card
- Step 1: – visit the website of official AAdhar now go the tab of “My Aadhar” and then click on the order aadhar PVC
- Step 2: – after that enter your AAdhar number or the virtual Id number or ‘EID’ number and enter on the security code and click on send OTP or send TOTP then choose the term and condition box and click on the button of submit. There are the important thing to know is if we don’t have registered number in order to get the PVC AAdhar card then you have to click on the box which is besides of ‘my mobile number is not registered’ and then enter your mobile number and click on the send OTP or send TOTP button and later do submit.
- Step 3: – after completing all above process you will get the preview of your aadhar details on your screen, ensure all the mentioned details are correct and then click on the button of ‘make payment’ but you will be unable to see the preview if your mobile number is not registered in Aadhar.
- Step 4: – choose your payment option and debit card/credit card or net banking/ UPI and pay 50 Rs/-
- Step 5: – now you will get the generated payment Receipt in pdf which you can download then UAIDI will send the PVC card to the speed post within 5 working days and then the speed post will deliver that card to the person who have applied for that.
Finance act 2021 has newly introduced new section 194P which is specially made for the senior citizen of the countries, who are 75 years or older than 75 years and it has applicable from the date of 01/April/2021
As we all get to introduced with the new budge in the year 2021 and there were lots of new changes were introduced and one of those was section 194P in which the government has given the conditional relief to the senior citizens in the income tax returns.
However the condition was also existed if while filing of the income tax return and those conditions are given followings and those conditions should be fulfilled to claim the exemption.
• The senior citizen should be 75 years old or the greater than 75
• He should have the pension income only not other source of income should have and also the interest income from the pension. And the interest income must have to be into the same bank account in which pension income are receiving.
• The bank in which pension income are receiving they must have to be notified by the central government because such bank are responsible for the deduction of TDS after considering the deduction under chapter VI-A.
• The senior citizen must have to be resident of India in the previous year.
• The senior citizen must have to submit a declaration containing few details to the specified bank in which they are getting the pension income are given below.
The declaration filing to the bank by senior citizen.
The specified banks are responsible to deduct the TDS on the income of pension and the TDS will be deduct on the basis of the declaration submitted by the senior citizen to the bank so that they can take help to deduct TDS on the basis of that.
The declaration should be containing these following documents.
- Deduction availed under section 80C to 80U.
- Rebate availed under section 87A.
- Total income of the senior citizen.
- Confirmation from the senior citizen about that they have just one pension income.
Benefits of being senior citizen under section-194P
If the specified bank once mentioned above deducts TDS under section 194P. The provision of section 139 will not be applicable to the aged 75 senior citizen it means if the bank deducts TDS of the senior citizen then they don’t need to file the income tax return.
In the budget 2020 we all get to introduced with the section 194K in the finance Act. This section made for the deduction on the units of mutual fund of any residence of India.
There are different types of income which can be earned by the mutual fund units, the types of income have given below.
Dividend: – tax on the dividend (DDT) which is use to pay by the (Asset management company) on the behalf of investor .but in the new regime DDT has abolished according to the 2020 budget from 2020-21, so that the dividend income will be taxable by the part of investors or the receiver.
Capital gain: – capital gain is taxable by the hand of the investor or who receives the income, any of long term capital gain earned by mutual funds equity then that will be taxed at the rate of 10% and the other condition is the income which is earned that should not be greater than 1lakh in a financial year, similarly if the investors gained any short term capital gain and also subjected to STT, then that will be taxable at the rate of 15%. A mutual fund is not liable to deduct TDS on the capital gain arising on the redemption of the unit by the Unitholders.
Also there are the exception cases as well in which TDS are not required to be deducted, the cases are given below.
- Tax @10%is not required to deduct if the earned income through mutual fund is should not be more than 5000 in the financial year.
- Capital gain income is exempted from the applicability of section 194K.
Scope of the section 194K
This new provision section 194K published from the 1 April 2020 this new section provides the exemption in order to abolish section 10(35) which is income from the unit of mutual fund.
So according to the section 194K any person who is responsible for paying an income to the resident with the respect to:-
- Unit from the administrator
- Unit from specified company
- Unit of the mutual fund as per section 10(23D)
So at the time of crediting the amount to account of payee which is exceeding 5000 or at the time of making payment, tax will be deduct as whichever is earlier.
Purpose of section 194K
According to the current income tax law, dividend use to taxed two times, initially the tax was imposed when the companies pays the dividend to the asset management companies and the second time use to imposed when the asset management companies distributes the profit between unit holders. So that’s why in this new tax regime DDT is abolished and only the AMC are required to deduct TDS @10%