LLP Registration

Nikita12

posted on 3 months ago — updated on 1 second ago

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LLP or Limited Liability Partnership has become a popular form of organization among entrepreneurs in India. A Limited Liability Partnership gives the benefits of a Company & a Partnership Firm. An LLP in India is a Partnership Firm established by at least 2 Partners who enter into an LLP Agreement. However, the LLP Partner have limited liability and the LLP has perpetual succession just like a Company.

Limited Liability Registration (LLP) Registration in India

In India, the concept of Limited Liability Partnership was introduced in 2008 by the LLP Act, 2008. In India, LLP has become the most preferred form of business among entrepreneurs. Registering an LLP in India has both the limited liability features of a Private Company and the flexibility of a Partnership Firm. No partner is answerable on account of unauthorized or illegal actions of other partners, thus individual partners are protected from joint liability created by another partner’s wrongdoing. LLP is generally preferred by professionals and micro and small businesses that are family-owned or closely held. In 2022, the MCA (Ministry of Corporate Affairs) introduced LLP (Second Amendment) Rules, 2022 and it has made the procedure of LLP Registration even easier & transparent as now all the LLP Forms will be digital-based forms. Also, with the LLP (Second Amendment) Rules, 2022, Limited Liability Partnerships shall be allotted their TAN & PAN along with the Certificate of Incorporation itself.

Checklist for the LLP Registration

Following is the checklist for LLP Registration in India:

A minimum 2 Partners is required
Digital Signature Certificate for all the proposed Partners
DPIN (Designated Partner Identification Number)
LLP Name which is not similar to any existing LLP
LLP Agreement between the Partners
Proof of registered office of the LLP
Capital contribution by the LLP Partners

LLP Compliance

All LLPs incorporated in India are required to file statutory returns with MCA every year. Limited Liability Partnerships having a sales turnover of over Rs. 40 lakhs or capital of over Rs. 25 lakhs will also be required to complete a statutory audit. RegisterKaro can help you maintain your LLP Compliance at a very affordable price.

Forms	Compliance	Due Date	Penalty
DIR-3 KYC	For every individual with DIN	Before 30th Sep every year	Rs. 5000 if the DIN is deactivated
Form-11	Annual Returns	30th May	Rs. 100/day
Form-8	Statements of Accounts & Solvency	30th October	Rs. 100/day