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How much roughly it is to maintain a private limited, using it just to hold equity?

Thinking of setting up a part time business just to hold all my equity.

2007-06-09 15:10:31 · 1 answers · asked by Anonymous in Business & Finance Small Business

Oh how to prevent it from being "Personal Holding Company"

I just have to selling something?

I plan to transfer equity & asset to the Private Limited.

And if there happens to be an opportunity, i can just sell with the Private Limited..

Later part, thinking of leasing assets to the company.

Like buying a car and leasing to the company.

2007-06-09 15:52:42 · update #1

1 answers

I assume that the questioner is a US citizen. Answer: A couple of hundred bucks to set up and a couple of hundred bucks a year to keep it registered. (it depends on the state that you're incorporating in. Look on the web for posted fee schedules.) But why would you want to do this? A company that does not have an actual business purpose is called a personal holding company and may be subject to the potentially huge and appropriately named "Personal Holding Company Tax". Do NOT do this without talking to a competent tax adviser.

2007-06-09 15:21:57 · answer #1 · answered by Ted 7 · 0 0

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