« Top Headlines » Open DEMAT Account in 24 hrs  Delhi HC Rules GST Registration Cannot Be Cancelled Retrospectively Without a Clear Show Cause Notice (SCN)  Belated income tax return AY 2026-27: How to file, late filing charges and what you may lose  Major Financial Changes from August 1, 2026: ITR Deadline, RBI MPC Meeting, Tatkal Ticket Rules & More  Government proposes to ease tax relief conditions for offshore funds  TallyPrime Connected Banking: Automating Banking and Accounting  ITR Filing Deadline 2026: Is July 31 the Last Date to File Your Income Tax Return? Latest Official Update  ITR filing deadline nears: How to file income tax return online on e-filing portal - quick 15-step guide  Will the ITR Filing Deadline Be Extended Beyond July 31 for FY 2025-26? Here's the Latest Update for Taxpayers  Income Tax Refund Delayed for AY 2026-27? 5 Common Reasons Your Refund May Be Stuck and How to Fix It  ITR Filing 2026: FM Nirmala Sitharaman Asks Tax Officials to Let Honest Taxpayers Correct Genuine Mistakes  Will Your FCNR Deposit Stay Tax-Free After Returning to India? Tax Rules Explained for NRIs «  Effective tax rate burden rising for India Inc... Global consultancy Deloitte to hire 3,000 in 2 years... » Legal, accounting firms may get access to LLP format February, 25th 2008 Partnership firms rendering professional services, including legal, financial and accounting services, can look forward to their conversion into limited liability partnerships (LLP) and further growth through mergers and acquisitions (M&As). The proposed limited liability partnership (LLP) Bill will lay down the norms for mergers, acquisitions and restructuring of LLPs to encourage the unhindered growth in size of professional service firms to compete with giant international LLPs. The new law will lay down the way an LLP can acquire the operations of another fully or partly. The proposed merger norms are believed to be close to what is now allowed for companies. According to this, LLPs will require permission from the proposed national company law tribunal or a high court besides clearance from a registrar of LLPs for a merger or acquisition. As the first step, an LLP will need a direction from a court or the tribunal to call a meeting of creditors and partners to discuss the deal. If three-fourth of the creditors or partners by value agree, the tribunal may approve the deal with appropriate modifications. The tribunals decision will also hinge on a compliance certificate given by the registrar or the official liquidator attached to the high court. Depending on the nature of the restructure or deal, either of these two offices would be required to certify to the tribunal that the LLP which would cease to exist after the merger or restructure has been run without prejudice to its partners or to the public. For the deal to come into force, the LLP must intimate the registrar about the tribunals decision within a stipulated period. It may face a penalty if it does not. Conversion of an existing partnership firm into an LLP will allow it to rope in unfamiliar faces with deep pockets or expertise as no partner will be held answerable for the lapses of another partner in an LLP. In a traditional partnership firm, mutual trust and confidence plays a large part in roping in investors. This limits a partnerships access to resources. The absence of vicarious liability in an LLP would encourage them to get more partners and grow in size to international standards, said Institute of Company Secretaries of India council member and former president Preeti Malhotra. The institute acts as the regulator of company secretaries.