Dissolution of LLP

Dissolution of LLP

Dissolving an LLP (Limited Liability Partnership) involves striking it off the MCA register and legally ending its existence. For dormant or inactive LLPs with no outstanding liabilities, the simplest route is the Voluntary Strike Off via Form 24 under Rule 37 of LLP Rules.

Methods of Dissolution

• Voluntary Strike Off (Form 24) — For dormant LLPs with nil assets and liabilities, inactive for at least one year. Quickest and most cost-effective route.
• Winding Up by Tribunal — In cases of insolvency, court orders, or public interest. More complex and time-consuming.

Conditions for Voluntary Strike Off

• The LLP must have no assets or liabilities at the time of application.
• All pending annual returns (Form 8 and Form 11) must be filed before application.
• All designated partners must provide their consent.
• No pending legal proceedings or tax demands against the LLP.
• All GST registrations and other regulatory registrations must be cancelled.

Documents Required

• Consent of all designated partners for strike off.
• Latest financial statements (showing nil assets and liabilities), certified by a CA.
• Indemnity bond from all designated partners.
• Statement of accounts certified by a CA/CS.
• Affidavit from all partners confirming nil liabilities.
• Proof of closure of LLP bank account.

Dissolution Process

1. File all pending annual returns (Form 8, Form 11) and ITR for the LLP.
2. Close all LLP bank accounts and obtain account closure certificate.
3. Cancel GST and other regulatory registrations in the LLP's name.
4. Prepare nil balance sheet and get it certified by a CA.
5. File Form 24 (Strike Off Application) with all required attachments on MCA portal.
6. MCA publishes the application in the Official Gazette for public notice.
7. LLP is struck off from the register after the notice period.

Timeline

Approximately 3–6 months from filing, including MCA processing and notice period.

Why Choose Tax Precision?

• Expert handling of all pending compliance filings before dissolution.
• CA-certified financial statement preparation for nil assets/liabilities.
• Complete Form 24 preparation and MCA filing management.
• GST cancellation and other regulatory deregistration support.
• End-to-end management until final strike off confirmation from MCA.