What is interest on Capital?

pmahankuda

• Feb 14th, 2007

 

Capital is the fund owner starts with the Business. To calculate the true profit owner charge Interest on the Capital which he/she started with the Business. Int. on Capital is the charge usually used in Pvt Ltd company.

Darvesi Miah

 Profile Answers by Darvesi Miah 

• May 15th, 2009

 

As per Business entity concept Owner or proprietor treated as separate. The propritor gets interest from company on the invested capital for a specific period. This is taxable income to the proprietor and expenditure to the company

yogesh

• Nov 2nd, 2014

 

Who deduct the TDS amount and percentage of deduction?

rhondelln

• Nov 14th, 2014

 

interest on capital is where the extra you receive on the total amount you invest in a business.