Increase in LLP Contribution
Increase in LLP Contribution
₹
2,000/-*
₹
- Statutory Fees including additional fees or penalty in course of Filing of LLP Form 3 is not included in the above amount.
- Stamp Duty Payable on Supplementary Agreement is not included in above amount.
- Any advice given to the Client is only an opinion based on our knowledge of the Client’s particular circumstances.
- The client will be responsible for verifying the information contained in such returns and/or filings prior to approving/signing such return/filing.
- Fees Should be paid according to conversation held between the Legal Parivar Team and Client.
Increase in LLP Contribution
The Limited Liability Partnership (LLP) operates under the regulations outlined in the Limited Liability Partnership Act of 2008. In contemporary times, the LLP structure is becoming increasingly favored over Private or Limited Company forms of business due to its simplicity and reduced regulatory requirements.
Limited Liability Partnership (LLP) Agreement is the charter, similar to Memorandum of Association and Articles of Association of a company. In the agreement, nature of business activities, rights, duties, and obligations of partners are mentioned.
The most straightforward method to meet capital requirements in an LLP involves adjusting the contribution limit for each partner. Given that partner contributions are established in accordance with the LLP agreement, any augmentation of a partner’s capital contribution may constitute an alteration of the LLP Agreement.
For many LLP partners, profit-sharing is intricately tied to their contributions, and any modifications to these contributions can directly impact profit shares. When the LLP opts to increase contributions uniformly across all partners based on their current proportions, a straightforward amendment to each partner’s contribution can effectively address the issue.
However, in scenarios where the contributions of some partners are increased while others remain unaffected, and contributions directly correlate with partners’ profits, careful considerations are necessary. Prior to implementing such changes, settlements for partners’ accounts up to the specified date are required, and essential entries must be recorded in the partners’ accounts.
The time limit for filing of Form 3 with the Registrar is a maximum of 30 days from the date of modification of LLP Agreement.