The Limited Liability Partnership Act, 2009 came into force w.e.f. April 1, 2009. The new law provides an alternative to the traditional partnership, with unlimited personal liability on the one hand, and statute-based governance structure of the limited liability company on the other. LLP Act, 2008 permits partnerships and companies to convert into LLPs.
Coupled with the new provisions relating to presumptive taxation of small businesses with a turnover of up to Rs 40 lakh, the concept of LLPs is likely to take off well with the small-scale and the services sector. These features make LLPs a preferred choice of entity for small and medium sized businesses that would like to limit their liability while getting the flexibility to do business in an unhindered manner.
LLPs will be taxed on same lines as general partnerships. That is, LLPs will pay tax and the partners will not.
We provide all the services pertaining to LLPs, namely