Capital Accounts
woobabe
Registered Posts: 35 Regular contributor ⭐
Please can someone help?
If partners all put into the business the same amount of cash, which is recorded on the B/S.
Are they able to withdraw this at any time they wish? and would they be taxed on this?
If partners all put into the business the same amount of cash, which is recorded on the B/S.
Are they able to withdraw this at any time they wish? and would they be taxed on this?
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Yes they can withdraw the money at any time, subject to funds being available. As it is their own money there is no tax on it.0
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Only other thing to note is if they have any contracts drawn up between each other for use of reserves.0
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Thank You! That is what I thought, but just wanted to check.0
