We want to wind up the llp so after the selling the property
This query is : Resolved
Querist : Anonymous
Querist :
Anonymous
(Querist)
01 November 2013
Dear Members of CS Community
We have Company which has a Land of Rs. 3 cr. . We are planning to convert in LLP and then we want to wind up the LLP .
So can the money out of sell of Land be taken back by Partners without the Tax ?
Is there any LIMIT or Tax applicable on Partners remuneration in LLP ?
Wishing you earliest reply . To understand the business issue, requesting you to have a mgs or call at 9904478071/8000133307
We have Company which has a Land of Rs. 3 cr. . We are planning to convert in LLP and then we want to wind up the LLP .
So can the money out of sell of Land be taken back by Partners without the Tax ?
Is there any LIMIT or Tax applicable on Partners remuneration in LLP ?
Wishing you earliest reply . To understand the business issue, requesting you to have a mgs or call at 9904478071/8000133307
02 November 2013
Nice Plan.
1. Capital gains tax shall be applicable on the sale of the asset (the firm has to pay tax on the capital gains)
2. Winding up of a LLP is not as simple as it is for a partnership firm. You shall have to follow LLP (Winding Up & Dissolution )Rules 2010, which is fairly elaborate procedure.
3. Yes, salary and interest paid to partners is taxable. However, share of profit after payment of tax by LLP, is not taxable in the hand of the LLP.
If you to have a detailed professional opinion you may revert.
But there are some restrictions.
1. Capital gains tax shall be applicable on the sale of the asset (the firm has to pay tax on the capital gains)
2. Winding up of a LLP is not as simple as it is for a partnership firm. You shall have to follow LLP (Winding Up & Dissolution )Rules 2010, which is fairly elaborate procedure.
3. Yes, salary and interest paid to partners is taxable. However, share of profit after payment of tax by LLP, is not taxable in the hand of the LLP.
If you to have a detailed professional opinion you may revert.
But there are some restrictions.
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