About Profit Sharing
· How do we get the profit?
The profit comes from the sandalwood harvest. Out customer is the Government of Karnataka. They will fix-up the rate as per the legal norms. Deducting the infrastructural and development expenditures net profit will be declared by Company on Sq.Ft. basis.
· Is the profit taxable?
Yes. As the money comes from the Government of Karnataka the amount is legitimate, while and taxable.
· What is the percentage of profit?
In the net profit earned, 50% will ble given to the land owner and 50% will be retained by the Company.
· Do we have to pay any other money towards sandalwood?
No. You pay only cost of the site. The development cost up to 15 years is maintained by the earnings of Host plants apart from our own expenditure.
· What if the trees in our site won’t yield the profit?
The income declaration is on collective basis. Total trees will be considered to decide the profit. Irrespective of individual site’s profit the customers will get considerably a good amount.
· Do we have a share in the income of Host plants?
No. The income from Host plants will be managed to maintain the cultivation for 15 years. This will not be totally sufficient hence Company also may have to expend a good lot of money towards cultivation.
· When do we get our sites back?
Immediately after harvest the entire land will be modified as a Layout as per the long approved plan with all infrastructure facilities as promised and returned in a good build-able condition.