Compliance Calendar
List
Close Inactive or Defunct LLP
Winding Up of LLP is Easy & Online
The LLP being is a creation of law; it can be closed by the procedures established by law only. An inactive or defunct LLP can be wound up fast with a simplified process by filing Form 24 to ROC with CA Certificate, affidavits and indemnity bonds.
- 100% Online Process
- CA, CS Services
- EMI Available
- Free Consultation
- Hassle Free Process
- 24x7 Assistance
Request Quotation/Call Back
From Startup Specialist
Google Review
4.8 
Pricing for Striking Off an Inactive LLP (Form 24)
Basic
₹11,999/-
✓
✓
✓
✓
✓
✓
✕
✕
✕
Get Started
Silver
₹14,999/-
✓
✓
✓
✓
✓
✓
✓
✕
✕
Get Started
Gold
₹25,999/-
✓
✓
✓
✓
✓
✓
✓
✓
✓
Get Started
Note: None of our packs includes Notary Service or the Cost of Stamp Paper.
(We will draft the documents, and you have to buy stamp paper from a local stamp vendor and get the affidavits and indemnity bond notarised)
Overview
Striking Off Vs Winding-UP
Checklist - Striking off LLP
Step Wise Process
Document
Notary & Stamp DutyVarious Methods to Close an LLP
The reasons for deciding to close an LLP may be many such as Inactivity or Non-Operation, Closure of Business of LLP, Passing away of key people of the LLP, a dispute among the partners, LLP Being Defunct, etc. The first and foremost is to understand the different ways in which an LLP comes to an end and. Here are three situation
- Striking off the LLP by declaring it as Defunct: When an LLP is inactive for over one year, and there is no business operation, the easiest method is to make an application for striking off the name of LLP under Rule 37 by filing Form 24.
- Voluntary Winding Up of LLP: The LLP makes an application for its winding up to the NCLT, with the consent of 3/4 majority of partners, it may apply to wind up the LLP voluntarily. The voluntary winding up is conducted by the Liquidator, who sells the assets of the LLP and pays the creditors from the proceeds. Based on the liquidator report, the NCLT passes the order to Windup the LLP on its satisfaction in the given facts and circumstances.
- Compulsory Winding Up of LLP of By NCLT: On an application by the creditors to whom the LLP is unable to pay its debt, or on an application by any partner, the ROC or the Government of India, the NCLT may start the compulsory winding-up process. An LLP Liquidator is appointed to dispose of the assets and pay the debts of the LLP, and if satisfied, the NCLT makes an order for compulsory winding up of the LLP.
Difference between Winding UP and Striking Off
Winding Off: In an NCLT winding off, the LLP comes to an end and can not be revived in due course of time; the liquidator sells all the assets of the LLP and settles off the liabilities from the proceeds of the liquidation process. The winding-up is final and brings a definite end to the LLP, and no one remains liable for the outstanding liabilities that could not be paid during the liquidation process.
Striking Off: Whereas a striking off the LLP is a process based on the declaration of the partners of the LLP, and no official liquidator is involved. Based on the affidavits of truthfulness and an indemnity bond from the partners that they shall be personally liable for any future liability of the LLP, the ROC strike off the name of the LLP. The effect of the striking-off of the LLP is that there is no compliance requirement, and for all practical purposes, the LLP has been closed. However, in case there are any government dues, tax dues or any liability that comes up after the striking-off, the LLP, the partners of the LLP remain personally responsible. Before filing for striking off, we advise you to settle all disputes, accounts and pay all dues.
Striking off Defunct or Inactive LLP Under The Rule 37 of the LLP Rules 2019
For the defunct LLP, which has had no business activities for more than one year, rule 37 of the LLP Act lays down an easy method to close the LLP by filing a simplified application to the ROC in Form 24. The closing of an LLP via Form 24 is known as the Striking Off the Name of the LLP From the register of LLP maintained by the ROC. For striking off the name of the LLP, the designated partners must settle the books of account of the LLP, sell all the assets of the LLP pays the debts and liabilities. The conditions for applicability of Rule 37 for striking off LLP is as under.
| Inactivity | The LLP must be defunct or inactive for at least one year before the date of filing form 24 for striking off the name of LLP. Inactivity means that the LLP has not carried any commercial transaction in the past year; mere payment of dues or receipt of money does not amount to commercial activity. |
| Assets or Liability | The LLP does not own any asset, and there must not be any liability. The financial statement must show Nil Assets and NIL Liabilities. |
| Partners Consent | All partners of the LLP must consent to strike off the LLP; in case of dispute between partners, Form 24 is not applicable. |
| CA Certification | A Chartered Accountant must attest to the Statement of Accounts showing NIL assets and liabilities in practice. The date of the statement should be within 30 days on which Form 24 is being filed. |
| Annual Return | The LLP must have filed its annual return in Form 11 and Form 8 for its active period. Refer to sub-rule 1A of Rule 37 of the LLP Rules |
| Check DIN Status | Every year DIR-3(KYC) must be filed to keep the DIN active for the LLP partners; check the DIN status; if the KYC has not been filed, Please do file the DIN KYC. |
| Check DSC Validity | As the application for striking off the LLP is filed with the use of Digital Signature, check if the DSC is valid for the partners; if not, Go for DSC Renewal. |
Stepwise Process of Making an application to Strike Off the LLP
Step - 1:
Partners Meeting
Convene a meeting of all the partners and obtain consent from all the partners for making an application to strike off the LLP.
Step - 2:
Sale of Assets and Payment of Dues
If the LLP has any assets, first sell them and pay all the liabilities so that therein NIL asset and NIL Liability in the LLP
Step - 3:
Close Bank Account
The bank account of the LLP need to close and obtain a closure certificate from the banker along with the final statement.
Step - 4:
Statement of Account
Prepare a statement of account and get it certified by a Chartered Accountant in practice. The statement should not be older than 30 days on the date of filing form 24
Step - 5:
Affidavits and Indemnity Bond
All the partner has to swear in an affidavit about the truthfulness of the particulars of documents and information being filed in Form 24. The partners are also required to sign an Indemnity Bond taking personal responsibility for any future liability that may arise for the LLP.
Step - 6:
Filing of Form 24
Finally, the prescribed form 24 for striking off the LLP is filed with the ROC along with the scan copy of supporting documents, the Form 24 is filed with the DSC of partners and need Certification from CA, CS or CMA.
List of Documents for Filing Application to Strike Off the LLP
| S.No | Document |
|---|---|
| 1. | Consent of all the partners |
| 2. | Bank Closure Statement |
| 3. | CA Certified Statement of Accounts |
| 4. | Copy of ITR Acknowledgement of LLP |
| 5. | LLP Agreement |
| 6. | Affidavits of all partners |
| 7. | Indemnity Bond of all partners |
| 8. | Identity and Current Address Proof of partners |
Stamp Duty & Notary
All the partners of the LLP have to file an affidavit and indemnity bond prepared on the appropriate value of the Non-Judicial Stamp paper. The affidavits and the indemnity bonds are required to be witnessed/attested by a Notary Public.
The stamp duty may differ from state to state; hence you should check the appropriate stamp paper value from the local vendors; generally, Rs 100 stamp paper is applicable for indemnity bond and Rs. 50-100 is applicable on affidavits.
The Notary attestation is an activity where the deponent of the affidavit of the person making the indemnity bond signs in the presence of the Notary. Hence, you should take the affidavits and indemnity bond after purchasing the stamp paper to the local Notary's office for attestation.
Benefits of Closing Inactive or Dormant LLP
Free From Compliance Burden: Certain legal compliance needs to be done even if the LLP does not do any business or is inactive. There is no relaxation from filing TDS or GST returns even if there is no transaction; similarly, annual compliance like filing of ITR, Form 11 and Form 8 with the ROC is a must. Any failure on these aspects results in a heavy penalty. By closing an LLP that does not intend to do business, it is relieved of compliance burden.
Save Money on Compliance: As already discussed, even if the LLP does not do any business, it must file various returns under the law. There is a substantial cost regarding the professional fee for doing several compliances. If a due date for the compliance is missed, then it leads to an additional fee payable at Rs. 100 for each day of delay. Therefore, In these circumstances closing an inactive LLP is always a wise decision that will ultimately result in saving money in the long term.
Move on in Life: The decision to make an LLP always starts with the hope of making it big, but everything planned may not meet the same fate. Business decisions can go wrong. Hence, if the plans are not going well or the team that started the journey together does not seem in sync, it is always better to conclude the LLP and move on in life.
Frequently Asked Questions
Is Newspaper Advertisement Necessary While Closing the LLP?
The newspaper publication is mandatory in case of voluntary or compulsory winding off before NCLT. The provisions are silent regarding the striking off; we recommend publishing Newspaper Notice as to an abundant caution even in case of the striking off application.
Which date should one reckon for cessation of LLP business?
The relevant date from which the LLP shall be considered inactive is when the LLP ceased to carry on its revenue-generating activity; mere receipt or payment of money from earlier transactions after cessation of commercial activity shall not affect the date on which LLP has become inactive or dormant.
Whether up to date annual filing is required before the closure of LLP?
The annual returns of the LLP in forms 11 and 8 need to be filed for the financial year in which LLP was active. For example, if the LLP was active until 25th October 2020, then the FY 2020-21 annual return must be filed before the LLP Striking Off application is filed.
What if the Initial LLP Agreement of the LLP is not filled?
The law is that the LLP must file the LLP agreement in Form 3 within 30 days of its incorporation. However, if the LLP fails in filing Form 3, the copy of the LLP Agreement must form part of the documents attached to Form 24.
Is it necessary to file ITR of LLP?
f the LLP has commenced the business operations and subsequently becomes defunct, the ITR must be filed up to the Financial Year when the LLP was active. However, if the LLP could not start the business operations, the LLP may file For 24 without filing the ITR.
Review
I am new at incorporation field but SETINDIABIZ help me out & I would like to mention especially for Ms Sana Parveen guided me all through the...See at Google
,
October 17, 2020
I was doubtful in the beginning to contact them for my work but they proved to be very professional and fast. I contacted SetIndiaBiz for...See at Google
,
October 10, 2020
Wonderful experience and a very professional bunch of people. To name some I have been recently dealing with Shaily Dhoudiyal, Suman Khowal...See at Google
,
September 31, 2020
Wonderful experience. Setindiabiz is very professional and efficient. Its executives are very friendly and helpful. Preeti who was handling...See at Google
,
October 15, 2020
Professionalism at its best. Every employee in this company is so energetic and punctual. you can rely on this company for sure...See at Google
,
October 07, 2020
Super fast service, They helped me in formation of my new company "Storaway Warehousing And Logistics Private Limited"...See at Google
,
October 07, 2020
The staff is really praiseworthy. I would like to mention specially for Ms Shaily Dhoundiyal guided me all through the process. she...See at Google
,
October 11, 2020
A good and professional company. I came to know about this company from Google. When I go through company profile and big company. My serviceSee at Google
,
September 25, 2020
Enthical company with finest of Staff , Specially Shailey Dhoundiyal. She helped a lot through out the process of registration ans incorporationSee at Google
,
September 19, 2020
Extremely Satisfied with the service. I came through this company in Google search. Initially I was hesitant about how would be the service... See at Google
,
September 25, 2020
Setbiz India made us very easy to deal with all documentation. Staff Shaily guided all through the process. Over all a Good team. Keep it up... See at Google
,
October 07, 2020
Sana parveen has been really efficient an quick in the process for KYC filing. Tremendous job.keep up the good work. All the best... See at Google
,
October 07, 2020
Setindiabiz truly committed to their statements .Their work is also very quick and on time and they even treat their customers in.... See at Google
,
October 11, 2020
All the work of my company has been done by Satindiabiz employees for the last 3 years. I am satisfied with their work. I thank to Shaily.... See at Google
,
October 13, 2020
My first experience today and it was really a wonderful experience. Quick updates and follow ups considering the criticality of the.... See at Google
,
October 03, 2020
I'm very happy with the services provided ms Nishtha walked me through some of the processing very patiently and kept regular updates. Thank you... See at Google
,
October 12, 2020
Shaily is prompt and cooperative, i had a smooth experience in filing my annual returns and also during LLP establishment. I thank her and wish good luck :-)... See at Google
,
October 04, 2020
All the work of my company has been done by Satindiabiz employees for the last 3 years. I am satisfied with their work. I thank to Shaily medm for the submission of my DIN KYC file... See at Google
,
October 04, 2020
They provide the best service for business registeration.Thank you so much Shaily for providing such a great and efficient assistance for my... See at Google
,
October 13, 2020
I had a very pleasant experience with SetIndiaBiz. Thanks to shaily and shubhlam who guided me step by step through the process... See at Google
,
October 8, 2020
Shaily and Khusboo have been great professionals, showing an amazin intent of delivering customer satisfaction.. I highly recommend SETINDIABIZ!.... See at Google
,
September 19, 2020
This company have a great service and my cs Sana Praveen mam is so good and very responsive person . Thank you setindiabiz and thank u Sona mam... See at Google
,
September 17, 2020
They give fast response to the customers and respect them and helps the customer in all the way in budget friendly manner... See at Google
,
September 18, 2020
They give fast response to the customers and respect them and helps the customer in all the way in budget friendly manner... See at Google
,
September 18, 2020
Good people but worst services. If you are startup please avoid them. There is lot of miscommunication and no proper information. They wont... See at Google
,
August 19, 2020
Excellent service, Very cooperative, Especially Harish sharma's way of talking and understanding your query is extremely nice. Thank you...See at Google
,
March 07, 2020
Excellent service, prompt response. Very professional approach to the entire process. Special thanks to Neha who made it very easy for me....See at Google
,
March 05, 2020
SETINDIABIG good services with in a short period of time, employees excellently coordinate with a clients Tq SARANYA and team for supporting...See at Google
,
March 4, 2020
Registration took just one day to complete. Speed of execution is key to start new business and Setindia understands the needs of...See at Google
,
Feb 19, 2020
They are truly committed to their statements .Their work is also very quick and on time and they even treat their customers in a very polite...See at Google
,
Feb 11, 2020
The executive person were incredible helpful and understanding of my views of situation and did everything they could to get me the Incorporation...See at Google
,
Feb 21, 2020
I am very satisfied with the work. which Sana Parveen had done. really appreciate for the fast process and. access. thanks to setindiabiz and...See at Google
,
Feb 23, 2020
Awesome great service! We are unexpected. my company get easy all legal documents through SetIndiabiz. They are provided best...See at Google
,
Feb 23, 2020
I have done my company registration at SETINDIABIZ along with TM and taken consultancy services for FDI . Services and guidance was...See at Google
, Feb 24, 2020
I am very impressed with work delivery system of Setindiabiz & team. They're very much competent to guide any start Up in statutory...See at Google
,
Feb 25, 2020
Good company, good people gives compliance related services in very professional way and delight customer by their services. i very much...See at Google
,
Feb 25, 2020
Highly supporting system for new business.. thankyou SETINDIABIZ for providing every type of business related support to new in field...See at Google
,
Feb 26, 2020
Thank to all team members of SETINDIABIZ ..Your customer support is really like Backbone... Special thanks to "Mr. Praveen Singh" who is...See at Google
,
Feb 26, 2020
Big thanks to Kuldeep, Shaily and folks at SetIndiaBiz for registering my company within 7 days. Everything was handled professionally... See at Google
,
Jan 13, 2020
I appreciate your service and will surely recommend to my friends who are looking for registering their company . It was a excellent job... See at Google
,
Jan 10, 2020
Thanks For Helping In Registration of Company And Registration of GST. They Come Quickly Than Estimated Time. ................... See at Google
,
Jan 01, 2020
My notions were feeble to pay for online services before "SETINDIABIZ" experiences. However they utterly pay-off my each penny by their swift and... See at Google
,
Jan 01, 2020
Thank you SETINDIABIZ for all your help in registering my private limited company in Bangalore, very smooth and they made it very easy for me. ... See at Google
,
Jan 01, 2020
Very Good Service, Quick Qquality Work, Time completed, Low Cost Work, We be Happy. TSR ENGINEERING PVT LTD /Director........... See at Google
,
Dec 24, 2019
Interacted with Mr. Manav Gandhi for filing my gst returns. He was very courteous, polite and quick-to-action. Thank you for your...See at Google
,
Aug. 25, 2019
perfection, sincerity, on timing means SETINDIABIZ. contacted several companies for my work online and offline but couldn't get anyone to...See at Google
,
Aug. 25, 2019
Excellent services offered for Start Up Firms and also for existing companies. Hope SetIndiaBiz opens up more offices in Tier II cities and...See at Google
,
Sept. 18, 2019
Excellent support from Manav Gandhi at SETINDIABIZ. He ensured to stay back in office till late night and complete our work at the earliest and...See at Google
,
Sept. 18, 2019
Good work done by Mr manav gandhi ,he is more concerned about my work to be completed on time,loved his working. ...............See at Google
,
Sept. 20, 2019
I always had a great experience with SetIndiaBiz. It is since 2 years that I am getting all my trademarks done through them......See at Google
, Sept. 22, 2019
Best legal service provider and flexibility in time commitment.All executives from sales to operations team: neha & Swati are really good in...See at Google
,
Dec 18, 2019
I would like to mention that Set India Biz is one of the best professional company I have worked with. All team members are customer focused and...See at Google
,
Dec 07, 2019
I believe with the relationship with SETINDIABIZ is worth value for money. Our account was managed by Proshanto and he has very proactive to support... See at Google
,
Nov 15, 2019
Overall it is good Experience. Representatives are very active. They will walk you through each and every process. They will help you with the...See at Google
,
Dec 06, 2019
Great service with understanding of budget and requirement of customer. A trustful firm for people who has basic knowledge of legal rules. ... See at Google
,
Dec 05, 2019
I highly appreciate the managers and co-workers as they are highly committed to their work. All the reports, forms and correspondence are... See at Google
,
Dec 11, 2019
I had very good experience of setting up my company. The team at SetIndiabiz are professional & understands need and executes at pace needed. ... See at Google
, Nov 26, 2019
Setindiabiz is a Great Company for registration of PVT. LTD. , LLP or any other company. Their process is fast but due to Durga puja holiday my... See at Google
, Nov 10, 2019
We got our documentation done by SetindiaBiz and we are really happy to have found the right consultancy. Really helpful, patient and ... See at Google
, Nov 26, 2019
Perfection and quality makes SETINDIABIZ differ from other companies. Promptness is an additional quality of them. Hats-off guys. Good job...See at Google
,
Oct 19, 2019
I'm happy with the phone and the deal i got from the company. Speaking with the service team helped me get exactly what i was looking for... See at Google
,
Nov 17, 2019
Dedicated, supportive and understanding team. What else we need to get the jobs done? Thanks to Set India Biz for helping me. .......See at Google
,
Nov 17, 2019
Have a great pleasure, and experience with team 'SETINDIABIZ' knowledgeable and supporting staff. As per our requirement, They committed and...See at Google
,
Dec 15, 2019
It's amazing. It was easy to understand and work was completed smoothly. Liked there work and recommend everyone to give them a chance. The best...See at Google
,
Nov 12, 2019
Very Nice and great company, all the executives are so polite and professional, they know their work very well and they are master in them. ......See at Google
,
19 Oct, 2019
Reliable with service satisfaction, employees are very helping & cooperative. Am grateful & thank you to the entire team of SetIndiabiz was......See at Google
,
19 Nov, 2019
I have had a very good experience with them in incorporating my LLP. Sana Parveen from Delhi office has been very helpful and very much approachable.......See at Google
,
19 Nov, 2019
The complete team is amazing, a very co-operative and helpful. They will answer all your questions calmly even if you ask same thing million of times. ...See at Google
,
19 Nov, 2019
I should write here .. I'm really impressed about Ms. PUJA.. You're an asset to your company Setindiabiz... I'm writing most about the person...See at Google
,
19 Nov, 2019
Good company for dealing with startups especially for documentation and registration. On the time action and positive results. ........See at Google
,
19 Sep, 2019
Great people, culture, All of the team, including the managers are approachable, helpful, caring and hard working.....keep up the good work....!! ...See at Google
,
19 Nov, 2019
I would like to mention that Set India Biz is one of the best professional company I have worked with. All team members are customer focused...See at Google
,
19 Nov, 2019
Rhanks To Sana For Being An Best Supportive Cordinator All The Time. On Start Had face a Lot of Issues because of mumbai Office but then Got in...See at Google
,
19 Nov, 2019
Excellent service. Mainly, its the timely update needed which is supplied on regular intervals. Ms. Khushboo & Ms. Swati were very cooperative...See at Google
,
19 Nov, 2019
The support given to me by corporate lawyer Mr. Kishore is really commendable. He was very cooperative in her approach towards our requirement and...See at Google
,
30 Sep, 2019
I had a good experience with SetIndiaBiz for TM registration. Mr. Shubham who was dealing my case was very professional and clear about what is ...See at Google
,
20 Sep, 2019
REALLY FAST AND PROMPT SERVICE.VERY GOOD EXPERIENCE OF SETTING UP ALL THE REQUIREMENTS WITHOUT ANY HINDERANCE. .THANKS TO THE TEAM ESPECIALLY MR. ...See at Google
,
20 Sep, 2019
I hardly trust people in business society. However, the people in this company are exception. You can trust them blindly. They are unbelievably ...See at Google
,
20 Sep, 2019
