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Is a capital investment taxable to either party?

Discussion in 'Business & Tax Advice' started by mandude, Jun 27, 2012.

  1. mandude

    mandude Jr. VIP Jr. VIP Premium Member

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    I need tax information on a capital investment. I just read somewhere that an investment is not taxable to the receiver, although I do not know specifics (and would like them). But what about the person giving the money? How are they taxed?

    Say an individual (not a company) gives you $10,000. Who or how is that taxed.
    Hope I get an answer. thanks
     
  2. mandude

    mandude Jr. VIP Jr. VIP Premium Member

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    350 views and no answers?
     
  3. BigFatWallet

    BigFatWallet Power Member

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    That's perhaps because no one who visited the thread knew an answer to it :p

    How about asking the same question in a forum related to taxes and stuff?
     
  4. mandude

    mandude Jr. VIP Jr. VIP Premium Member

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    I was going to, I just usually can get world's answers to everything at BHW lol
     
  5. Duffers5000

    Duffers5000 Elite Member

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    That's a big question and very hard to answer without knowing all the variables.it's a big enough sum of money to speak to a tax consultant. In simple terms though an individual or company should not have 10k to invest that they haven't paid some tax on previously, if an individual makes an investment or directors loan to a company then they should not be double taxed on that investment. Any further tax should only be levied on profits. Like I say that's in simple terms your situation may be more complicated
     
  6. mandude

    mandude Jr. VIP Jr. VIP Premium Member

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    Thanks. Ill prob go ask a a professional