Considering you're not an employee of the partnership, you qualify.As of 2013, the tax is 15.3 percent, which represents both the employer and employee share of the tax.The income statement is not affected by the declaration and payment of cash dividends on common stock.
You don't have to wait until the end of the year to get your partnership money.
Typically, a partnership sets up a capital account representing your investment in the company and a withdrawal account.
The receipt or accrual of a capital distribution gives rise to a deemed part-disposal by the shareholder for capital gains tax purposes.
The shareholder must calculate a capital gain or loss on the part-disposal by apportioning the base cost of the share according to the ratio of the market values of both the capital distribution and the share, and treating the capital distribution as the proceeds on the part-disposal.
Retained earnings count as taxable income, even though you don't touch the money.