What is the difference between partnership firm and LLP?

A partnership has no separate legal status apart from its partners, as the partners are individually known as a partner and collectively known as firm. Unlike, LLP which is a separate legal entity. The partner’s liability is limited to the extent of the capital contributed by them.

What are the documents required for partnership firm registration?

Current Bank Account

• Partnership deed.
• Partnership firm PAN card.
• Address Proof of the partnership firm.
• Identity proofs of all the partners.
• Partnership registration certificate (if partnership has been registered)
• Any registration document issued by central or state government (normally GST certificate is submitted)

What are the documents required for LLP registration in GST?

Documents Required for GST Registration – LLP

• Copy of Certificate of Incorporation of LLP.
• Permanent Account Number (PAN) of LLP.
• Consent / Resolution by Directors for obtaining GST Registration.
• Declaration / Authorisation to Authorised Signatory.

What is better LLP or partnership?

Due to higher compliances and transparency in operation, the credibility of LLP is higher and thus it eases the fund raising from financial institutions. Compared to partnership firms, other body corporates are having higher credibility and hence are less preferable.

What is the minimum capital required for a LLP?

There is no minimum capital requirement in LLP. An LLP can be formed with the least possible capital. Moreover, the contribution of a partner can consist of tangible, movable or immovable or intangible property or other benefits to the LLP.

What is meant by Mutual Agency in a partnership?

Mutual agency is the legal relationship between partners in a partnership where each partner has authorization powers and the ability to enter the partnership into business contracts.

Is GST mandatory for LLP?

LLPs must be treated as a Partnership Firm or Firm under GST: Govt [Read Notification] The Central Government recently notified that the Limited Liability Partnerships (LLP) registered under the 2008 Act must be considered as a partnership firm or Firm under the Goods and Services Tax (GST) regime.