LLP AND PARTNERSHIP FIRM

[ASHOK CHOUDHARY]

In case of conversion of a partnership firm into Limited Liability Partnership (LLP), is a new PAN required to be obtained for LLP or the same PAN of partnership firm will continue to apply? Similarly, in such a case, is a new TAN/ Service Tax/ PF required to be obtained for LLP or the same numbers of the partnership firm will continue to apply?


2) It appears that partnership firm will cease to exist on the date of conversion and LLP will take over- So in case of Partnership firm whether Dissolution deed is required to be entered.

[DR.MARIAPPAN GOVINDARAJAN]

In case of conversion of a partnership into LLP a new PAN is required to be obtained for LLP. Likewise also for other taxes and statutory obligations.

It is better to get dissolution deed.

AI Summary

Conversion to LLP requires new PAN and fresh statutory registrations; partnership should execute a dissolution deed to formalise transition. Conversion of a partnership into an LLP requires a new PAN for the LLP and fresh statutory registrations for TAN, service tax and provident fund; the partnership ceases to exist on conversion and it is advisable to execute a dissolution deed to record the firm's termination and facilitate transfer of assets, liabilities and statutory positions to the LLP.