LLC means Limited Liability Company in which the owners are not held liable for the debts or transactions of the company that holds incorporation status. Many business owners choose to convert their businesses to LLCs not only for the decreased liability but also for the easier tax-filing process. To convert a sole proprietorship or a partnership to an LLC is an easy way for sole proprietors and partners to protect their personal assets without changing the way their business income is taxed.
India provide a simple form for converting a partnership to an LLC , sole proprietors and partners that don't provide a conversion form must file regular articles of organization to create an LLC.In some country, before a partnership can officially convert to an LLC, it must publish a notice in a local newspaper that the partnership is being terminated. And in India, you'll have to transfer all identification numbers, licenses, and permits to the name of your new LLC, including:
- Your federal employer identification number
- Your country employer identification number
- Your sales tax permit
- Your business license
- Any professional licenses or permits.