Partnership
A partnership is formed when two or more individuals agree to jointly manage and operate a business. Each partner shares responsibilities and profits based on a mutually agreed ratio. This structure is well-suited for small businesses that do not plan for rapid expansion or take on large contractual obligations. Its affordability, ease of setup, and minimal compliance requirements make it an ideal choice for such enterprises.
We offer complete support to help you establish your partnership firm:
- We’ll assist you in drafting your partnership agreement.
- If required, we can handle the registration of your partnership deed.
- We’ll help you obtain your TAN and GST registrations.
- Additionally, depending on your business type and transactions, we can assist with registrations under the Shops & Establishment Act, Professional Tax, Import Export Code (IEC), and MSME.
Partnership Deed Registration:
While registering a general partnership is not mandatory, it is highly recommended due to the legal advantages it offers. Only a registered partnership firm can file a lawsuit in court to enforce rights arising from a contract or under the provisions of the Partnership Act against the firm or its partners. Additionally, in disputes involving third parties, only a registered partnership firm can claim a set-off or initiate legal proceedings. As per the Indian Partnership Act, 1932, partnership firms must be registered with the Registrar of Firms to enjoy these legal benefits.
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.
