What if there are two businesses and they wish to do some business together, is there any way they can do it?
For e.g, there are two sole proprietors who are traders. They wish to import a certain commodity and sell it, while maintaining there separate entities.
Please explain from accounting and tax point of view.
Thnaks
<blockquote id="quote"><font size="1" face="Verdana, Arial, Helvetica, san" id="quote">quote<hr height="1" noshade id="quote"><i>Originally posted by Omeir</i>
<br />What if there are two businessess and they wish to do some business together, is there any way they can do it?
For e.g, there are two sole proprietors who are traders. They wish to import a certain commodity and sell it, while maintaining there seperate entitities.
Please explain from accounting and tax point of view.
Thnaks
<hr height="1" noshade id="quote"></font id="quote"></blockquote id="quote">
Dear,
In foregoing situation , Business may be conducted by forming a Partnership , this shall not be treated as a case of Joint Venture, since conditions of Joint Venture do not meet.
In this regards, Search detail for Accounting treatment of forming a partnership,Income tax ordinance 2001 also prescribes tax treatment of Partnership.
After you go through the aforementioned, discuss the same ,if any query is to be asked.
Best Regards,