Shared liability partnerships (ANS)

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Shared liability partnerships (ANS) are a company form where two or more owners have unlimited personal liability (either collectively or individually) for the debt of the enterprise.

The allocation of liability between the partners can be either shared liability (DA) or joint and several liability (ANS).

If the enterprise becomes bankrupt, the partners (owners) will be personally liable for ensuring that the debt is paid. All circumstances concerning start-up, withdrawal or liquidation are regulated by the Partnership Act.

Shared liability partnerships are not taxed as a separate entity; it is the partners (owners) in the partnership that are liable for paying the partnership’s tax.

The partners must themselves ensure that advance tax is assessed based on the individual’s share of the profit, withdrawals of work remuneration and any other distributions from the partnership.

  • Form RF-1102 should be used to apply for amendment of advance tax. 
  • Both business and private income/deductions must be included.
  • Budgeted deficits in a business are not included in the tax deduction card. Final deficits are included in the tax return.
  • Payments are made four times a year.