| S. No |
Conditions |
UK LLP |
Indian LLP |
| 1. |
Introduction of Law |
In the Year 2000 with the nomenclature Limited Partnership Act, 2000 |
In the Year 2008 with the nomenclature Limited Partnership Act, 2008 |
| 2. |
Registration |
Registration with Companies House required. |
Registration with Registrar of Companies required. |
| 3. |
Registration |
Document LLP Agreement |
LLP Agreement |
| 4. |
Distinct |
entity Is a separate legal entity under the Limited Liability Partnership Act, 2000.operating under a combination of partnership and company law. |
Is a separate legal entity under the Limited Liability Partnership Act, 2008 |
| 5. |
Name of Entity |
Name to contain 'Limited Liability Partnership' or 'LLP' as suffix |
Name to contain 'Limited Liability Partnership' or 'LLP' as suffix |
| 6. |
No of Members |
Minimum 2 partners and atleast 2 of the partners must be designated members |
Minimum 2 partners and atleast 2 of the partners must be designated members |
| 7. |
Foreign Partnership |
Foreign Nationals can be a Partner in a LLP and both the partners can be from any nationality |
Foreign Nationals can be a Partner in a LLP. |
| 8. |
Contribution |
A matter of commercial/economic negotiation. |
Obligation of partners as per the LLP agreement. |
| 9. |
Cost of Formation |
The cost of Formation is statutory filling fees, comparatively lesser than the cost of formation of Company. |
The cost of Formation is statutory filling fees, comparatively lesser than the cost of formation of Company. |
| 10. |
Liability of Partners/Members |
Limited, to the extent their contribution towards LLP |
Limited, to the extent their contribution towards LLP, except in case of intentional fraud or wrongful act of omission or commission by the partner |
| 11. |
Other Liability |
Members will be liable to pay Class 2 and Class 4 National Insurance contributions. |
No such liability prevails |
| 12. |
Requirement of Managerial Personnel for day to day administration |
Designated Partners are responsible for managing the day to day business and other statutory compliances |
Designated Partners are responsible for managing the day to day business and other statutory compliances |
| 13. |
Applicability of Partnership Tax |
Taxed as Partnership |
Yet not framed by GOI |
| 14. |
Statutory Meetings |
There is no provision in regard to holding of any meeting |
There is no provision in regard to holding of any meeting. |
| 15. |
Remuneration of Managerial Personnel for day to day administrator |
No member shall be entitled to remuneration for acting in the business or management of the Limited Liability Partnership. |
Unless otherwise agreed in LLP agreement, no partner shall be entitled to remuneration for acting in business or management. |
| 16. |
Statutory Records |
Required to maintain books of accounts |
Required to maintain books of accounts |
| 17. |
Annual Filing |
an annual return to the Registrar of Companies each year |
Annual Financial Statement and statement of Solvency is required to be filed with Registrar of Companies every year. |
| 18. |
Transfer / Inheritance of Rights |
Regulations relating to transfer are governed by the LLP Agreement . |
Regulations relating to transfer are governed by the LLP Agreement . |
| 19. |
Tax Liability |
Is not subject to any corporate income tax but the profits are distributed to the members who pay personal income tax on their income from the partnership Subject to Capital Gain Tax The limited liability partnership must file an annual informational tax return |
Status of LLP has not made clear under the Taxation laws |
| 20. |
Change of Name |
The Secretary of State has statutory powers to direct a limited liability partnership to change its name in certain circumstances. |
The Central Government has the power to direct a limited liability partnership to change its name in certain circumstances |
| 21. |
Borrowing by LLP |
A LLP can borrow money in its own name |
A LLP can borrow money in its own name |
| 22. |
Applicability of Corporation Tax |
LLPs that do not carry on business as a trade or profession such as an investment company will be subject to corporation tax |
Taxation provisions has not yet been defined. |
