Kommandittselskap
Encyclopedia
Kommandittselskap or KS is a Norwegian
type of company
. The company is owned by two types of entities; the komplementar, who holds unlimited liability, and one or more komandittist who hold limited liability
. The komplementar is usually a limited company
, so the liability is in essence limited. The company type is thus a middle form between a limited and unlimited
company.
Each komandittist must pay equity of NOK
20,000, of which 20% must be paid before the registration at Brønnøysund Register Centre
. The komplementar must supply at least 10% of the total equity. Divided is paid out in proportion to the supplied equity, unless otherwise agreed upon. Taxation of a KS follows the same rules as taxation from an ansvarlig selskap
(unlimited company, ANS), so there is no double taxation
. KS's must be audited
and submit their accounts to the authorities.
Of tax reasons, the company was quite popular in the 1980s, but after changes in the tax law
most of the advantages disappeared. After this the company form is mainly used for real estate
investment collaborations.
Norway
Norway , officially the Kingdom of Norway, is a Nordic unitary constitutional monarchy whose territory comprises the western portion of the Scandinavian Peninsula, Jan Mayen, and the Arctic archipelago of Svalbard and Bouvet Island. Norway has a total area of and a population of about 4.9 million...
type of company
Company
A company is a form of business organization. It is an association or collection of individual real persons and/or other companies, who each provide some form of capital. This group has a common purpose or focus and an aim of gaining profits. This collection, group or association of persons can be...
. The company is owned by two types of entities; the komplementar, who holds unlimited liability, and one or more komandittist who hold limited liability
Limited liability
Limited liability is a concept where by a person's financial liability is limited to a fixed sum, most commonly the value of a person's investment in a company or partnership with limited liability. If a company with limited liability is sued, then the plaintiffs are suing the company, not its...
. The komplementar is usually a limited company
Aksjeselskap
Aksjeselskap is the Norwegian term for a stock-based company. It is usually abbreviated AS or A/S, especially when used in company names. An AS is always a limited company, i.e. the owners cannot be held liable for any debt beyond the stock capital...
, so the liability is in essence limited. The company type is thus a middle form between a limited and unlimited
Ansvarlig selskap
An ansvarlig selskap is a Norwegian company model, mainly used in small-to-medium businesses, in which the company's individual owners are held personally liable for any outstanding debts acquired by the company...
company.
Each komandittist must pay equity of NOK
Norwegian krone
The krone is the currency of Norway and its dependent territories. The plural form is kroner . It is subdivided into 100 øre. The ISO 4217 code is NOK, although the common local abbreviation is kr. The name translates into English as "crown"...
20,000, of which 20% must be paid before the registration at Brønnøysund Register Centre
Brønnøysund Register Centre
Brønnøysund Register Centre is a Norwegian government agency that is responsible for the management of numerous public registers for Norway...
. The komplementar must supply at least 10% of the total equity. Divided is paid out in proportion to the supplied equity, unless otherwise agreed upon. Taxation of a KS follows the same rules as taxation from an ansvarlig selskap
Ansvarlig selskap
An ansvarlig selskap is a Norwegian company model, mainly used in small-to-medium businesses, in which the company's individual owners are held personally liable for any outstanding debts acquired by the company...
(unlimited company, ANS), so there is no double taxation
Double taxation
Double taxation is the systematic imposition of two or more taxes on the same income , asset , or financial transaction . It refers to taxation by two or more countries of the same income, asset or transaction, for example income paid by an entity of one country to a resident of a different country...
. KS's must be audited
Audition
An audition is a sample performance by an actor, singer, musician, dancer or other performing artist.Audition may also refer to:* The sense of hearing* Adobe Audition, audio editing software...
and submit their accounts to the authorities.
Of tax reasons, the company was quite popular in the 1980s, but after changes in the tax law
Tax law
Tax law is the codified system of laws that describes government levies on economic transactions, commonly called taxes.-Major issues:Primary taxation issues facing the governments world over include;* taxes on income and wealth...
most of the advantages disappeared. After this the company form is mainly used for real estate
Real estate
In general use, esp. North American, 'real estate' is taken to mean "Property consisting of land and the buildings on it, along with its natural resources such as crops, minerals, or water; immovable property of this nature; an interest vested in this; an item of real property; buildings or...
investment collaborations.