Guest
10 July 2009 at 15:47
LLP is a new corporate form that enables professional expertise and entrepreneurial initiative to combine, organize and operate in an innovative and efficient manner. In India, this need has long been recognised for businesses which may require a framework that provides flexibility suited to requirements of service, knowledge and technology based enterprises. Services sector is playing a major role in the national economy and there is a growing diversity in the range of services being offered. The services sector also finds this form very useful.
2. Government had introduced the Limited Liability Partnership Bill, 2006 in the Rajya Sabha on 15th December, 2006. It was later referred to the Department Related Parliamentary Standing Committee on Finance for examination and report. The Committee submitted its recommendations in its report to both Houses of Parliament on 27th November, 2007. Keeping in view the recommendations made by the Standing Committee and other relevant inputs, the Government had finalized the LLP Bill, 2008. Based on such report the Ministry of Corporate Affairs revised the LLP Bill and the revised LLP Bill, 2008 was introduced in the Rajya Sabha on 21st October, 2008. This was passed by the Rajya Sabha on 24th October, 2008. The Bill was passed by Lok Sabha on 12th December, 2008. The President gave assent to this Bill on 7th January, 2009.
3. The rules in respect of registration and operational aspects under the LLP Act, 2008 viz. LLP Rules, 2009, were issued on 1st April, 2009. The rules in respect of conversion of a partnership firm, a private company and an unlisted public company into LLPs were made effective w.e.f. 31st May, 2009. The Government has also launched a website namely, www.llp.gov.in on 1st April, 2009 for operationalization of various processes provided under the LLP Rules, 2009. The rules under LLP Act, 2008 in respect of winding up and dissolution of LLPs are also under preparation and would be prescribed shortly.
Taxation of LLPs
4. Since the taxation related matters in India are provided under Tax Laws, the taxation of LLPs was not provided in the LLP Act. The Finance Bill, 2009 has made provisions in this regard, pursuant to which the taxation scheme of LLPs has been proposed to be introduced in the Income Tax Act. It has been proposed to tax LLPs on the lines similar to general partnerships under Indian Partnership Act, 1932, i.e. taxation in the hands of the entity and exemption from tax in the hands of its partners.
The Finance Bill, 2009 has accorded a “limited liability partnership” and a general partnership the same tax treatment. Consequent changes in the Income-tax Act, 1961 like (i) the word ‘partner’ to include within its meaning a partner of a limited liability partnership, (ii) the word ‘firm’ to include within its meaning a limited liability partnership and (iii) the word ‘partnership’ to include within its meaning a limited liability partnership as these terms have been defined in the Limited Liability Partnership Act, 2008 have also been proposed in the Finance Bill, 2009.
5. It has also been proposed in the Finance Bill, 2009 that the designated partner shall sign the income tax return of an LLP, or, where, for any unavoidable reason such designated partner is not able to sign the return or where there is no designated partner as such, any partner shall sign the return. The Finance Bill has also proposed that in case of liquidation of an LLP, every partner will be jointly and severally liable for payment of tax unless he proves that non-recovery cannot be attributed to any gross neglect, misfeasance or breach of duty on his part.
6. The Bill further provides that as an LLP and a general partnership is being treated as equivalent (except for recovery purposes) in the Income-tax Act, the conversion from a general partnership firm to an LLP will have no tax implications if the rights and obligations of the partners remain the same after conve
Anil Goel
10 July 2009 at 12:44
hello experts, my query is i want to know that as per new rules framed by govt about TDS, if a person possess TDS no., is he liable to file NIL return whether there is no deduction at source in the quarter.
plz reply as early as possible.
AMIT TANEJA
10 July 2009 at 12:38
IAM FRESH ADV.............
HOW SHOULD APPROCH THE LAWYERS.
BEING NEW IN THIS FIELD AND ZERO EXPERIENCE IAM FACING ALOT OF PROBLEMS
CAN U PLZ GUIDE AS HOW SHOULD I APPROCH THE ADVOCATES FOR ACCURING / WORKING WITH THEM.
vishnu sharma
10 July 2009 at 11:22
An advocate enrolled in Bar council can serve in any company as law associate.
aparna
10 July 2009 at 10:50
Good morning,
According to the Indian custom, the name of a woman usually gets changed and she is bound to roam about with the married name. My question is can she stay with the maiden name or is it compulsory to change to the married name?
Also it is customary to write the father's name after the child's name. Can we write both the parents' names?
In case of divorced ladies with custody of the children, many wish to write their own name after the child's name. How can this be done in a legal way?
Can you quote some landmark judgement where the mother has been given the right to use her single name?
aparna
10 July 2009 at 10:40
Hello,
Though late, yet appreciably the Supreme Court did think of getting a legislation in the above matter. The Vishaka case has really made many aware of this.
But I still dont know whether such an act has been passed or is still pending? If no, why has such a delay been caused? Please clarify my doubt. If possible can you please give facts of the Vishaka case in a nutshell and guide me as to from where can i get other such cases to refer the same?
Member (Account Deleted)
10 July 2009 at 09:12
What is the last date for filing IT Return for assessment year 2009-2010 for individuals.
Is there any extention of the last date?
Srikiran Raghavan
10 July 2009 at 07:01
A criminal complaint was filed against several Accused in the Court of J.M.F.C. An order of issue process was passed by the Hon'ble Court.
What options are available to the Accused to appeal this order and what is the period of limitation, if any, to prefer such an Appeal?
Srikiran Raghavan
10 July 2009 at 06:55
A criminal complaint had been filed against various Accused more than a year and a half back.
The Hon'ble Court passed the order to issue process only a week back.
It has come to our knowledge that one of the Accused has changed his / her address since the time the complaint was filed more than 1 1/2 years ago.
We filed a normal application to change address of this Accused during Summons as well as amend the contact address on record.
The Learned Judge has stated that in the application it is necessary to state under what provisions of CrPC or based on what citations such change of address and amendment of record is being asked.
Kindly provide some references in this regard.
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Transfer of Properties Act- lease
Dear Sir,
Kindly inform me if the Lessor gives 999 years lease to the lessee can the lessor provide unencombered right over the property to the lessee? If yes or no, why?
So far i can recall there is no such provision in this regard in the Transfer of Properties Act, 1882. Kindly guide.
With best regards,
Asish