Taking money out of a Pvt Ltd for personal use

Many business owners choose to operate out of Pvt Ltd as it is the most suitable structure for them. A Pvt Ltd Company is a separate legal entity and thus, all the money and assets belong to the company as opposed to the shareholders (owners). This means you cannot simply be taking money out of a bank account and use it for personal use. 

There are tax implications that may result in you paying the highest marginal tax rate + Dividend Tax. There are a few methods of taking money out of the company correctly depending on the situation. As a promoter/director of a Pvt Ltd Company, you are required to know such 12 Legal ways to withdraw money for personal use from the company even without escalating much cost. 

Please note that the information is just a guide and should not be relied upon for legal and tax advice. You are advised to consult your advisor for the compilation of documents & guidance!