The document outlines the maximum ceilings for payment of managerial remuneration to directors of a public company from its net profits according to Indian law. The ceiling is 11% of net profits for the financial year, but this can be exceeded with approval of the central government. If there is one managing director, the remuneration cannot exceed 5% of net profits. For multiple managing directors, the combined remuneration cannot exceed 10% of net profits. Remuneration for other directors is capped at 1% of net profits if there is a managing director, and 3% if there is no managing director.

2. Overall Managerial
Remuneration
 As per section 197
 maximum ceiling for payment of
managerial remuneration by a public
company to its Managing Director/Whole
Time Director/Manager
 shall not exceed 11% of the net profit of
the company in that financial year.

3. Exceeding the ceiling of
11%
 the company may, with the approval of
the Central Government, exceed the
ceiling of 11% for payment of
remuneration.
 The net profit for this purpose shall be
computed in the manner referred to in
section 198

4. Remuneration payable to
 Managing Director/Whole Time
Director/Manager
 If one Managing Director or Whole Time
Director or Manager :
 Remuneration shall not exceed 5% of the net
profit of the company
 If more than one Managing Director or Whole
Time Director or Manager :
 Remuneration shall not exceed 10% of the net
profits to all such directors and managers taken
together

5. Remuneration to Other
Directors
 Remuneration payable to directors who
are neither Managing Directors nor
Whole Time Director or Manager
 1% of the net profits of the company, if
there is a Managing Director/Whole
Time Director/Manager
 3% of the net profits of the company, in
any other case