Finaly the revolution in the Indian partnership has come and from April 1st 2009, the partnership undergo a huge transformission and the liability of the partnership will be limited to the shares they hold in the firm.
Limited Liability Partnerships (LLP), is the format that will allow professionals, traders and even producers of goods to conduct their business without worrying about losing their personal assets due to lapses of other partners.
An LLP would be taxed for its income while the income of individual partners would be tax free; a benefit that is not available to companies. Companies pay tax on their profits and again pay dividend distribution tax when they distribute profits among shareholders. The LLP format protects partners from double taxation.
This entry was posted on February 16, 2009 at 4:45 pm and is filed under ECONOMY with tags AGGREGATE RISK, EMERGING ECONOMY, LIBERLIZATION, MANAGEMENT EDUCATION. You can follow any responses to this entry through the RSS 2.0 feed
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