| S. No |
Conditions |
USA (California) LLP |
Indian LLP |
| 1. |
Registration |
Registration with California Secretary of States. |
Registration with Registrar of Companies required. |
| 2. |
Combination of LP and LLP (LLLP) |
Some US States have combined LP and LLP to form LLLP (Limited Liability Limited Partnership) |
No such combination is exists |
| 3. |
Registration Document |
Form LLP-1 |
LLP Agreement |
| 4. |
Document to furnish security for claims against LLP |
Form LLP-3 For Alternative Security Provisions |
No such provision is there. |
| 5. |
Distinct entity |
Is a separate legal entity under the Uniform Partnership Act ,1996. Each Individual States have passed Revised Uniform Partnership Act 1997 to implement LLP in their own states. It means LLP in one specific states is entirely different from other |
Is a separate legal entity under the Limited Liability Partnership Act, 2008 |
| 6. |
Name of Entity |
Name to contain 'Limited Liability Partnership' or 'LLP' /RLLP as suffix |
Name to contain 'Limited Liability Partnership' or 'LLP' as suffix |
| 7. |
Contribution |
Obligation of partners as per Written Partnership Agreement |
Obligation of partners as per the LLP Agreement. |
| 8. |
Foreign Partnership |
Foreign Nationals can be a Partner in a LLP. |
Foreign Nationals can be a Partner in a LLP. |
| 9. |
Cost of Formation |
The cost of Formation is statutory filling fees with Form LLP-1 of US$70, 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. In case of fraud or omission LLP is liable for partners wrongful act |
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. |
Statutory Records |
Required to maintain books of accounts |
Required to maintain books of accounts |
| 12. |
Annual Filing |
Annual Return must be filled with the Secretary of States |
Annual Financial Statement and statement of Solvency is required to be filed with Registrar of Companies every year. |
| 13. |
Transfer / Inheritance of Rights . |
Regulations relating to transfer are governed by the Written Partnership Agreement |
Regulations relating to transfer are governed by the LLP Agreement |
| 14. |
Tax Liability |
Profits is distributed among the partners for tax purpose and no double taxation exists like in corporations. |
Status of LLP has not made clear under the Taxation laws |
| 15. |
Borrowing by LLP |
Partners decide through Borrowing Resolution |
As per LLP Agreement |
| 16. |
Applicability of Corporation Tax |
LLP is under obligation to pay Annual Minimum Tax of US$800 to the Franchise Tax Board. Such tax is not applicable if no business is conducted by LLP in California during the taxable year |
Tax provisions of LLP have not yet been defined |
| 17. |
Winding up |
By filing Form LLP-4 with the Secretary of States |
Voluntary or by order of National Company Law Tribunal. |
| 18. |
Whistle Blowing |
Exists |
Provision has been made to provide protection to employees & partners, providing useful information during an investigation or convicting any partner or firm |
