Sanket Shah (Start ups & Corporate Advisor) (323 Points)
06 January 2012Hey Guys,
If i want to register one organisation as Venture Capital with SEBI under its VC guidelines, what should I prefer more? Trust or Company? Why?
Reply as soon as possible...
CS Sandip Rahane
(CS & Legal )
(368 Points)
Replied 06 January 2012
| Originally posted by : Sanket Shah | ||
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Hey Guys, If i want to register one organisation as Venture Capital with SEBI under its VC guidelines, what should I prefer more? Trust or Company? Why? Reply as soon as possible... |
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Mr. Sanket,
I think Trust will be the best option for VC, because :
1) No Income Tax on Dividend
2) indivisuals not be liable to Capital gains Tax on any profits arising from the disposal of VCT shares
3) Most of the people adopting the way of trust for VC.
Sanket Shah
(Start ups & Corporate Advisor)
(323 Points)
Replied 06 January 2012
Thanks Sandip,
Even looking at the private circulation clause of Company law, I was thinking on the same path. Thanks for imparting further clarity on the issue.
CAclubindia
