PRACTICE DETAILS
- Lawyer Mr. Shaman Jain
- Skills Compliance
- CATEGORY Compliances
ABOUT THIS PRACTICE
A Limited Liability Partnership (LLP) can turn out to be a far better business vehicle than a regular partnership. Partners are saved from any personal liability and the LLP is able to get rid of the abundant regulations of the Indian Partnership Act, 1932. Besides, there are tax benefits, no audit requisites below a certain capital, no restrictions on number of partners or capital investment requisites .
Documents Required for converting Partnership Into LLP
- Address proof of registered office
- Approval by regulatory authority
- Details of partnership (including details of partners and directors)
- Consent of all the partners,
- Copy of the latest income tax return (can be acknowledgement)
- No Objection Certificate from tax authorities
- List of creditors and their consent
- List of certified liabilities and assets.
Procedure
In order to convert partnership into LLP ,primarily, it is required to acquire Digital Signature Certificate (DSC) and Designated Partner Identification Number (DPIN) for all the Partners. Once this is done it is required to put up an application for the conversion of Partnership into LLP through Form 17 attaching all the necessary documents with the same.
Once the documents are filed successfully together with required fees, verification will occur . After this , a certificate will be issued to you. This marks the successful completion of conversion of your partnership into a Limited Liability Partnership.
Once the conversion process is finished , the Partners are eligible for limited liability protection for all transactions conducted. Although , the Partners will be solely accountable for any business conducted before getting converted into LLP.
Within 12 months from the date of conversion a statement of conversion from a partnership to an LLP must be included in all official correspondences.
In the event of LLP, filing an annual return is needed only if there is a turnover of more than Rs.40 lakh or capital contribution of over Rs.25 lakh.
