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+--- Thread: Tax Issue regarding private limited co. (/showthread.php?tid=7811)
Tax Issue regarding private limited co. - Muhammadwaqas30 - 04-14-2010
Dear members,
We have a pvt. ltd. company registered with SECP generating 100% revenue from foreign and though it is fully exempt from tax liability. Few days before we had announced dividend to our shareholder ( 2 owners mr & mrs ABC), in this transaction we have paid 10% tax on gross amount of divided. Now i have an assignment from my directors to gather all the drawbacks, if we go to dissolve our company status into a partnership or a sole proprietorship because in case of partnership or sole business we dont have to pay any tax on drawings and the business profit will retain the non-taxable status as revenue is foreign generated.
I hope u understand all the situation now, please suggest me all the perspectives which we should keep in mind to change our corporate status ........... will it beneficial for us or not