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Month: October 2024

Ms. Mohini Varshenya
October 17, 2024
“ESOP” A PART OF THE COMPENSATION STRUCTURE OF KMP’s AND SENIOR MANAGEMENT IN NBFC’s

Key Managerial Personnel (KMPs) and senior management in Non-Banking Financial Companies (NBFCs) hold pivotal roles in steering their organizations toward success. Their influence on the company’s direction and growth cannot be overlooked, as their personal goals often mirror the broader objectives of the Company. Recognizing the significant impact these designations have, the Reserve Bank of...

Framework for Unit Based Employee Benefit Schemes for  Employees of Investment Manager of InvITs and Manager of REITs

InvIT of Infrastructure Investment Trust is a trust registered with SEBI to carry out the activity prescribed under SEBI (Infrastructure Investment Trusts) Regulations, 2014. An InvIT raises funds by issuing units to investors and invests those funds primarily in assets in infrastructure sector whereas Real Estate Investment Trust (REIT) registered under REIT Regulations facilitate pooled...

PLANNING TO GIVE GRANT AND STUCK IN DETERMINATION OF ESOP COST

Background: Generally, Indian listed companies come up with the grant of ESOP after appraisal month, i.e. May/June. It helps to align rewards with recent performance of the employees. However, challenges arise in determining ESOP cost due to various factors like market volatility, vesting period and regulatory & tax considerations. Despite these challenges, careful consideration of...

CLARITY ON CHARGING OF GST ON ESOP’s:

ESOPs have been used by companies, both in India and internationally, to retain, attract, and motivate employees, and to create wealth for them, thereby aligning their interests with the company’s. Nowadays, many MNCs grant ESOPs to employees of their Indian subsidiaries or holding companies, whether based in India or outside India. There has been an...

“SEBI’S NEW FRAMEWORK” FOR UNIT BASED EMPLOYEE BENEFIT SCHEMES FOR EMPLOYEES OF INVESTMENT MANAGER OF INVITS AND MANAGER OF REITS

In a move to create ownership and give a sense of belongingness, among the employees of Investment Manager of InvITs and Manager of REITs. Before, this SEBI has issued a consultation paper on framework for issuance of Units Based Employee Benefits (UBEB) on December, 09th 2023. The said consultation paper, inter-alia, invited public comments on...