Bhaskar
Asked February 25, 2014

Partnerships v. LLP

  • 1 Answer
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Hi Guys! My father run a sole proprietorship business for the last 11 years. He is thinking of expanding his business. He spoke to some of his friends and they are thinking of entering into a partnership. Can you advise as to the possible structure they should adopt? Should they enter into a usual partnership or an LLP? What are the tax benefits for the latter?

Answer 1

Under partnership Act, liability of partner of firm is unlimited. LLP is alwys better as it have limited liability on partner.

Agree Comment 0 Agrees 2 months ago

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