Tax planning

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ankeshrawala (Querist)
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01 June 2015 Ekk partnership firm hai unka yearly income 5lacs hai.2 paetner hai.this is their first year.they do not want to give any tax(income tax). Can any one pls suggest some planning

kamal p keswani

kamal p keswani (Expert)
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09 June 2015 Pay remuneration and interest to partners as allowed by act and mentioned in deed. This will help to reduce profit. If any profit remains after this, tax will have to be paid on balance profit.

Also, above payments become income of partners so partners taxable income have to be kept in mind.