What is Closing LLP Overview
Winding up is the process, where all the assets of the business are sold to paying off creditors and distributing surplus if any, among the owners of the business. An LLP may decide to wind up its business by two modes, either by voluntarily winding up or compulsory winding up.
Process for Closing LLP
Complete our Simple Form
Filing your documents
Receive your Documents
Documents Required For Closing LLP
- Bank Statement closer certificate
- Audited Financials for Nil assets and Nil liabilities and latest ITR copy.
- Signed Affidavits along with Authority to file application
- LLP Agreement and consent of Creditors, if any
- Certificate of Incorporation /Registration
Benefits Of Closing LLP
- Partners Affidavit of No Dues
- Indemnity Bond
- No objection Certificates form Partners
- Statement of Account Preparation
FAQs On Closing LLP
The procedure to dissolve LLP is :
The procedure of striking off requires the filing of the prescribed form along with the documents as listed in the next FAQ. The Registrar shall further file publish the application of striking off on the website of MCA for a period of 1 month for receiving any representation from the general public. The application once approved will affect the change of status of LLP as Stuck off (defunct) in the register and master data of LLP.
The name of Limited Liability Partnership can be applied for strike off by way of declaring it as defunct for a period of one year or more. This is the easiest way to close the LLP as there is no involvement or requirement of the Liquidator or Tribunal. To choose this mode, few conditions are required to be fulfilled (prescribed below).
If the LLP fulfills the following condition, it can file an application for striking off its names from the register of LLP:
In case of closure of defunct LLP, the designated partners have to sign the application for the closure of defunct LLP along with the consent of other partners.
The LLP which has not commenced any business under its name since its incorporation or the LLP which has ceased to operate canmake an application under this route. In both cases, a period of one year shall be passed since the incorporation.
No, the appointment of a liquidator or an application before Tribunal is not required to be made. The appointment of a liquidator is applicable in case of Dissolution of the LLP through voluntary or compulsory winding up only.
Can I proceed for strike off LLP in India if the LLP has assets and liabilities in its books of accounts?
The Limited Liability Partnership requires to first close its books of accounts after distribution of assets and payment of the liabilities. The statement shall be duly certified by the chartered accountant in practice. The care should be taken that the application of striking off of the LLP shall be made within 30 days from the date of the statement prepared.
If the Limited Liability Partnership is yet operative, the Partners shall wait for a period of one year to be completed since the last transaction in the name of LLP to opt for this method of closure of LLP. However, if Partners do not wish to continue LLP for a longer period, they can alternatively opt the winding-up procedure with the help of Liquidator
Yes, application of the surrender of PAN Card is required to be made. This service is not included in our package.
The payment of stamp duty and notary on the affidavit and indemnity bond will be required to be completed by the client form their concerned state or city.
E-Form 24 is used for producing an application to the Registrar of Companies for striking off the name of the LLP
If LLP started operation and closed in between, all returns shall be filed until the date of service of the LLP.
In case business is originated and stopped in between, LLP shall file all Income tax returns till the date of administration. LLPs did not begin service can file closure application without filing returns.
No, once closure request is filed no need to submit any returns