Venture Capital firms, generally known as VCs are benefited by manner of tax exemptions.  Internationally, VC Funds are treated as pass through vehicles which helps to eliminate income tax at the pool level.  A pass through status is desirable for all funds because their IRR will be higher as the sale proceeds can be passed on to the investors without payment of any taxes.  The final recipient needs to pay income tax and the intermediary body is exempted.  This is to avoid double taxation of Read more [...]