Announcement regarding Commencement notification of provisions of Companies (Amendment) Act, 2020 relating to Remuneration of Non-Executive Director

NON-ACADEMIC ICAI UPDATE (NOT RELEVANT FOR EXAMS BUT FOR GENERAL AWARENESS)

CA Study

Hello Everyone,

Please find text of the Announcement regarding Commencement notification of provisions of Companies (Amendment) Act, 2020 relating to Remuneration of Non-Executive Director notification below –

Announcement regarding Commencement notification of provisions of Companies (Amendment) Act, 2020 relating to Remuneration of Non-Executive Director

Corporate Laws & Corporate Governance Committee The Institute of Chartered Accountants of India

19^th  March, 2021

ANNOUNCEMENT

Sub: Commencement notification of provisions of Companies (Amendment) Act, 2020 relating to Remuneration of Non-Executive Director w.e.f. 18^th  March, 2021

This is to inform you that the Central Government has appointed the 18^th March,  2021 as the date on which the following provisions of the Companies (Amendment) Act, 2020 shall come into force namely:

Accordingly, after amendment, non-executive directors including independent directors may receive remuneration, in case of absence or inadequacy of profits, in accordance with Schedule V of the Companies Act, 2013.

Notification is available at the link- http://www.mca.gov.in/Ministry/pdf/CommencementNotification_18032021.pdf

Members may note the above.

Sincerely Yours,

Chairman and Vice Chairman

Corporate Laws & Corporate Governance Committee The Institute of Chartered Accountants of India

Official Link of Announcement regarding Commencement notification of provisions of Companies (Amendment) Act, 2020 relating to Remuneration of Non-Executive Director notification can be accessed from below –

https://resource.cdn.icai.org/63823clcgc51351b.pdf

That’s all for now. Stay Connected for more such authentic updates.

Jai Hind, Vande Mataram
Team CA Study