With respect to THE LIMITED LIABILITY PARTNERSHIP (AMENDMENT) ACT, 2021 published on 13th August, 2021, we are hereby informing you about the major changes that are to be implemented in LLP Act, 2008:
1. In Section 2 of the principal Act, clause (t) shall be inserted, which states that:
(ta) “small limited liability partnership” means a limited liability partnership-
(i) the contribution of which, does not exceed twenty-five lakh rupees or such higher amount, not exceeding five crore rupees, as may be prescribed; and
(ii) the turnover of which, as per the Statement of Accounts and Solvency for the immediately preceding financial year, does not exceed forty lakh rupees or such higher amount, not exceeding fifty crore rupees, as may be prescribed; or
(iii) which meets such other requirements as may be prescribed, and fulfils such terms and conditions as may be prescribed.
2. In Section 7 of the principal Act, in sub-section (1), in the Explanation, for the words “one hundred and eighty-two days during the immediately preceding one year”, the words “one hundred and twenty days during the financial year” shall be substituted.