Directors Disclosure
Dear All
If a company has to disclose directors, remuneration as required by the above provision, it must be disclosed per director, that means the name of the director must be included in the disclosure. There are two provisions in the Companies Act 2008 that make this compulsory:
1. Section of the 2008 Act states amongst others: The purposes of this Act are to promote the development of the South African economy by encouraging transparency and high standards of corporate governance. Hiding a director’s name will not under any circumstances achieve this objective.
2. The annual financial statements of each company that is required in terms of this Act to have its annual financial statements audited, must include particulars showing—the remuneration, as defined in subsection (6), and benefits received by each director, or individual holding any prescribed office in the company.
The words ‘each director’, can only mean that person on his or her own and the ability to identify the director. One must be able to identify the director as that is the only way one knows who that director is. This is the view of all audit firms and IRBA.
Steven Firer
If a company has to disclose directors, remuneration as required by the above provision, it must be disclosed per director, that means the name of the director must be included in the disclosure. There are two provisions in the Companies Act 2008 that make this compulsory:
1. Section of the 2008 Act states amongst others: The purposes of this Act are to promote the development of the South African economy by encouraging transparency and high standards of corporate governance. Hiding a director’s name will not under any circumstances achieve this objective.
2. The annual financial statements of each company that is required in terms of this Act to have its annual financial statements audited, must include particulars showing—the remuneration, as defined in subsection (6), and benefits received by each director, or individual holding any prescribed office in the company.
The words ‘each director’, can only mean that person on his or her own and the ability to identify the director. One must be able to identify the director as that is the only way one knows who that director is. This is the view of all audit firms and IRBA.
Steven Firer
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