On the basis of the profit and loss account, in which it reflects the value corresponding to the legal reserve calculated for each financial year, it is recognised together with the annual tax on profit or loss due and net income. The accounts of the list of accounts to be used are: Companies: They emphasize, of course, the right that shareholders must participate in the deliberations of the company by voting, as well as to be part of the organs of the company: in the administration as manager or in the supervisory board, if it is compliant. The Income Tax Act of the Other Deductions section of Article 31 stipulates that they are also deductible from income earned. The legal reserve of resident companies, consisting of the net profit of each year, up to the minimum limit set by the respective laws or by the competent government bodies depending on the type of each company. The legal framework of the S. de R.L. is articles 58 to 86 of the General Law on Commercial Companies (LGSM), but the latter also determines the application of certain articles of the partnership to the general name. Inheritance law: It consists in the fact that a partner can inherit his share in the company without the consent of the other partners being required (as is the case for partnerships). The legal reserve must be restored in the same way if it decreases for any reason.
(Reservation-legal) The percentage and amount of the legal reserve are based on the Commercial Code for each category of company. The percentage and amount of the legal reserve are governed by this Code for each group of companies. The legal reserve must be restored in the same way if it decreases for any reason. The Commercial Code stipulates that the percentage allocated to that of limited liability companies: 7% on the net profit and the legal minimum limit will be one fifth of the share capital. Legal reserve A percentage of a company`s net profits must be separated annually to form the legal reserve until it reaches a certain amount. Contrary to the provisions of this Article, no contrary provision or agreement may be invoked; the directors are jointly and severally liable for their compliance and are therefore required to return the legal reserve in whole or in part; if, for any reason, it does not exist or exists only partially; without prejudice to the right of the directors to repeat against those who received the money. In order to meet exactly this requirement, shareholders, creditors or the Public Prosecutor`s Office are granted a complaint. It represents a social type that, without completely departing from the plans of popular societies; Like the personal knowledge of the partners, a maximum permitted number of them (currently 50), a certain restriction on the transfer of social participation to third parties, the right of both includes, among other things, aspects that bring it closer to capitalist enterprises, where the limitation of the liability of the partners to simple social obligations is emphasized. The share capital will be that defined by the statutes, which will be divided into social parts that may be of unequal value and category, but in any case will be a multiple of one peso (Art. 62LGSM). Article 123.- The amount allocated annually to the constitution of the legal reserve of the limited liability company; amounts to seven per cent of the net profit and the minimum legal limit of this reserve is one fifth of the share capital.
The statutory reserve is part of the shareholders` assets, which are classified as “restricted profits”, which accumulate the amounts as a statutory reserve. Example: the company: On account, CV SA earned income of $100,000.00 and selling expenses of $60,000.00, administrative fees of $5,000.00 and distribution costs of $15,000.00 The legal reserve would be calculated as follows: Art. Art. 124.- Two thirds of the amounts that appear in the legal reserve must be available; or invest in salvadoran or Central American commercial newspapers that are easy to make; the other third party may be invested in accordance with the purpose of the Company. The first of the rights is the recognition of their membership status, and therefore Article 73 stipulates that they keep a special book of the partners in which the name and address of each individual are recorded, indicating their contributions and the transmission of the social parties. Article 295.- Public limited companies the provisions of articles 123 and 124 of this Code. Article 74 provides that the management of limited liability companies is carried out by a director or a board of directors, who may be partners or persons outside the company, temporarily or indefinitely. Unless otherwise agreed, the Company has the right to dismiss its directors at any time. Both rights: It consists in the fact that if the transfer is approved in favor of a foreign person of the company, the partners have a preferential right to acquire it. In the event of a reduction, it must be affected by the payment of the corresponding tax in accordance with the income tax rate referred to in Article 31 of the Income Tax Act. The limited liability company (S.
de R. L.) in Mexico is the commercial company that was created to eliminate the limitations and requirements of the company, which is composed of a company name or denomination and in which the participation of the partners is limited to the amount of their contribution represented by social groups or interest and never by shares. Patrimonial: consists of shareholders who participate in the profits that companies make annually, in proportion to the amount of their contribution. And also to participate in the final billing costs. Article 77 provides that the general meeting is the supreme organ of the company. Its resolutions shall be adopted by a majority of the votes of the members representing at least half of the share capital, unless the statutes require a higher majority. Unless otherwise specified, if this number is not reached at the first meeting, the shareholders shall be summoned a second time, decisions being taken by a majority of votes, regardless of the part of the capital represented. This is a possible position because it may or may not be constituted and, where appropriate, corresponds to the supervisory board, which may be composed of shareholders or persons outside the company.