Section 214 - Prohibition of tax-free payments

(1) A company shall not pay a director or Company Secretary of the company remuneration free of income tax or otherwise calculate that remuneration by reference to or varying the amount of the income tax payable by the director or Company Secretary.

(2) A provision contained in

(a) the constitution of a company;

(b) a resolution of a company or of the directors of a company; or

(c) a contract entered into by a company

for the payment of remuneration shall have effect as if the provision requires the payment as a gross sum, subject to income tax, of the net sum for which the provision actually requires.