- Minimum Shareholders and Partners - TWO
- Indian Resident Director - Atleast ONE
- Director and Shareholder can be same
- Minimum Authorized Share Capital to be Rs. 1 Lac
- DIN (Director Identification Number) for all directors
- DSC (Digital Signature) for Directors, Shareholders and Witness
- One Witness for MOA/AOA subscriber
1. PAN CARD
2. PHOTOGRAPH
- Passport Size
3. ID PROOF
- Adhaar Card
- Voter ID
- Passport
- Driving License
4. ADDRESS PROOF
- Bank Statement
- Electricity Bill
OWNED BY ANY DIRECTOR OR SHAREHOLDER:
1. Sale deed of the Property
2. NOC from the owner (Draft Copy will be shared)
3. Latest Electricity Bill/Telephone Bill/Gas Bill
TAKEN ON RENT BY ANY DIRECTOR OR SHAREHOLDER:
1. Rent Agreement
2. NOC from the owner (Draft Copy will provide draft copy)
3. Latest Electricity Bill/Telephone Bill/Gas Bill
According to Section 3 of the Limited Liability Partnership Act 2008 (LLP Act), an LLP is a body corporate, formed and incorporated under the Act. It is a legal entity separate from its partners.
Unlike a general partnership firm, a limited liability partnership can continue its existence even after the retirement, insanity, insolvency or even death of one or more partners. Further, it can enter into contracts and hold property in its name.
Just like a corporation or a company, it is a separate legal body. Further, it is completely liable for its assets. Also, the liability of the partners has certain limitations in their contribution to the LLP. Hence, the creditors of the LLP are not the creditors of individual partners.
Another difference between an LLP and a partnership firm is that independent or unauthorized actions of one partner do not make the other partners liable. All partners are agents of the LLP and the actions of one partner do not bind the others.
For all legal purposes, LLP is an artificial legal person. A legal process creates it and has all the rights of an individual. It is invisible, intangible, and immortal but not fictitious since it exists.
According to Section 26 of the Act, every partner is an agent of the LLP for the purpose of the business of the entity. However, he is not an agent of other partners. Further, the liability of each partner has limitations to his agreed contribution to the LLP. It provides personal liability protection to its partners.
Although treated as a separate legal entity from its Members, the LLP is treated for tax purposes as a partnership and the Members are taxed as partners, each being liable for tax on their share of the income or gains of the LLP Tax Compliances & others:
Income Tax- Every LLP is required to file an Income Tax return in Every Year by providing 30% tax on the total income of LLP.
Audit requirement- Under LLP Act, 2008:- Only Those LLPs whose annual turnover exceeds Rs.40 lakhs or whose contribution amount exceeds Rs.25 lakhs are required to get their accounts audited.