
Taxable Income | R 1,500,000 | Taxable Income | R 1,500,000 |
Deductions | R 0 | Deductions | R 1,000,000 |
Taxable Income | R 1,500,000 | Taxable Income | R 500,000 |
Tax Payable (45%) | R 675,000 | Tax Payable (45%) | R 225,000 |
By investing R 1,000,000 into AltCap, an immediate tax saving of R 450,000 is provided (45%).
The above tax deduction will be granted to an investor within the the following tax year that the investment into the VCC was made. i.e. If a client invests on the 27th of February 2018, the deduction will be included in the investors 2019 income tax calculation.
If the investment in AltCap is not held for a minimum 5 years, the above-mentioned deduction becomes null and void and is added to the investors taxable income in the following year.
Minimum Participation in the fund | R100 000 |
Maximum Participation | No Investor may make up more than 20% of the fund |
Investors Holding Period | 5 years |
Targeted | IRR 30% |
Annual Management Fee | 2% |
Performance Fee | ‘A Shares’ |
Manco Admin | 1% |
How ‘A shares’ work: AltCap, through the holding of the ‘A’ shares of the company, will receive 20% of all proceeds that exceed investors original investment. For everyone 4 shares an investor receives, one ‘A share’ is issued to the investment managers.
Click here to contact us for more about this exciting opportunity!
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