As the tax filing date approaches, some may be wondering what about income or transfers that come from Venture Club? Simply put, Venture Club and Venture Club Invest usually do not withhold any tax before sending and any income tax must be arranged by the recipient. The only exception to this is the advance payment made to employees, under normal employment contract arrangements. (This applies to two or three people and they have already received confirmation from their employer.)
Last year we made and received the above types of payments for some members with the following arrangements:
Incentive scheme, one-off exceptional remuneration, irregular income, tax is paid by the recipient and the item is included in the appendices to the tax return. (Does not apply to those who invoice – they treat the income as other income in the course of their business.)
The income from the Klíčanka CD, is actually the income from the loan, the amount over and above the funds invested, including the fee, will be reported by the recipient in a similar way to the Incentive Scheme income.
Payment from the DYNAM project – we realized a loss, no income occurred.
Interest paid on club loan – income to be reported on tax return, no income tax was withheld.
Payments from the Thomas LLoyd, Direct Beteiligung, DB04 project: these are advance payments in the form of a return of deposit and, as less has been returned than we have deposited so far, neither Venture Club Invest nor the recipient will make a payment. We expect to receive a bilingual confirmation, similar to previous years.
Membership dues: for the record, you cannot claim them as an expense, and you cannot claim them as a tax expense either if you have an invoice for a corporation or an individual doing business. It is a non-tax expense.
Investments held with Venture Club Invest or in club subsidiaries – are recorded at nominal purchase value, no appreciation has occurred, no need to state.
Of course, the taxpayer’s own responsibility, corporate or individual, is critical. Please consult your tax advisor if necessary. We look forward to having a lot to report on our tax returns in the years to come. Paying taxes is normal – and consistent with the success of any business.
MUDr. Petr Šedivý, Venture Club z.s. and Venture Club Invest s.r.o.
Prague, 14.3.2021