Partnership

A partnership is created when more than one individual agree to manage and run a business together. As individual partners, the members divide the firm's responsibilities and profits according to a predetermined ratio. It is suited for small enterprises that do not intend to grow fast or even have contracts with huge obligations. It makes sense for these organisations due to its low prices, simplicity of setup, and lack of stringent compliance requirements.

We will provide you with support as you set up your firm:

• We'll assist you in creating your partnership agreement
• If you'd like, we can register the partnership deed on your behalf.
• We'll assist you with your TAN and GST.
• In addition, based on the nature of your business and your transactions, we can register you for the Shops & Establishment Act, Professional Tax, Import Export Code, and MSME.

Partnership Deed Registration:

General partnerships can choose not to register; it's not required. Due to the extra benefits, it is advisable to create a partnership firm. Only a registered Partnership firm may bring a lawsuit in any court to assert any claim resulting from a contract or right granted by the Partnership Act against the firm or other partners. Also, in a disagreement with a third party, only a Registered Partnership firm may assert a set off (i.e., a mutual adjustment of obligations owned by the disputant parties to one another) or other processes. In accordance with the Indian Partnership Act of 1932, partnership firms must be registered with the Registrar of Businesses.

Documents Required For Partnership Firm Registration:

Identity Proof of partners:

• PAN card for Indian nationals (we can complete this for you if you don't have one or if it has to be corrected);
• Notarized copy of passport for foreign nationals;

Address Proof of partners (Any One):

• Passport
• Driving license
• Aadhaar card
• Bank statement (less than 2 months old)

Registered Office Address Proof:

• A rental contract OR a sale or registration deed (if owned)
• No objection certificate from the landlord for using the property as a registered office;
• A copy of a recent utility bill (electricity/water); or a property tax receipt (for rented offices)

Partnership Deed:

• Form No. 1 (Application for registration under the Partnership Act),
• an original copy of the partnership signed by each partner,
• an affidavit stating the partner's intention is required.

Regulatory Aspects:

• Partnership firms must file their yearly tax returns with the Income Tax Department as well as any required GST and other applicable legislation returns.
• Unless the turnover exceeds 2 crores audit is not necessary (for GST)
• Annual reports or accounts need not be filed with the Ministry of Corporate Affairs, which is required for Limited Liability Partnerships and Corporations.