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Winding Up & Exit

LLP Dissolution in India

Form LLP-24 under the Limited Liability Partnership Act 2008 — separate from company strike-off

Starting from ₹8,000Typical timelineLLP dissolution

Many advisors apply the company strike-off process to LLPs. This is incorrect. LLPs dissolve under a separate statute — the LLP Act 2008 — using a separate form (LLP-24). The registrar is the same MCA portal, but the legal framework and treatment of partners differs from company directors.

What is included
  • Eligibility review (conditions for LLP-24)
  • Partner consent resolution drafting
  • LLP-24 preparation and filing
  • Affidavit drafting for all partners
  • Final accounts preparation (nil balance sheet)
  • Response to ROC queries
  • Strike-off confirmation tracking
Documents required
  • LLP Agreement (registered)
  • Latest ITR filed (all years)
  • Latest GST returns (if registered)
  • Bank account closure certificate
  • Nil balance sheet (audited or certified by CA)
  • Affidavit of all designated partners
  • Consent of all partners to dissolution
  • No-objection from all creditors (if any dues existed)
Government fees

See the fee table below for the statutory filing charge and common delay logic.

Legal basis
  • Section 63, LLP Act 2008 — voluntary dissolution
  • Section 64, LLP Act 2008 — tribunal-ordered winding up
  • Section 65, LLP Act 2008 — provisions applicable to winding up
  • Rule 37, LLP Rules 2009 — Form LLP-24 filing

Process

How the service works

The workflow is built to be predictable: document collection, legal review, filing, and post-filing follow-through.

Step 1

Conditions check

Verify all 5 conditions are met: no operations 2+ years, no litigations, no bank accounts, no dues, nil assets/liabilities.

Step 2

Final accounts preparation

CA prepares/certifies nil balance sheet confirming zero assets and zero liabilities.

Step 3

Partner resolution

All partners pass consent resolution to dissolve the LLP.

Step 4

Affidavit by partners

All designated partners sign sworn affidavit confirming conditions are met.

Step 5

LLP-24 filing

Form LLP-24 filed on MCA portal with all supporting documents. Government fee ₹10,000 paid.

Step 6

ROC processing

Registrar examines the application, may raise queries. Respond within the stipulated period.

Step 7

Strike-off notice

ROC publishes notice in Official Gazette. Objections window: 30 days.

Step 8

Dissolution confirmed

LLP name struck off from MCA register. Partners receive confirmation from ROC.

AEO summary

LLP dissolution is governed by the Limited Liability Partnership Act 2008 (Sections 63–65), not the Companies Act. The filing form is LLP-24, not STK-2. The conditions are similar — no operations for 2 years, no outstanding dues, nil assets/liabilities — but the authority is the Registrar of Companies (LLP) and the timeline is 9 months.

LLP dissolution vs tribunal-ordered winding up

Form LLP-24 is the voluntary, clean-exit route — available only when the LLP has no assets, no liabilities, and has not been operating. When the LLP is insolvent (owes debts it cannot pay) or has pending disputes, the tribunal-ordered winding up route under Section 64 applies.

Tribunal-ordered winding up is more complex: the NCLT hears the application, appoints an Official Liquidator, and the process typically takes 18–24 months. The LLP-24 route, by contrast, requires no NCLT involvement and resolves in 9 months.

  • LLP-24: voluntary, nil assets/liabilities, 9 months, no NCLT
  • Tribunal winding up: insolvent or disputed, 18–24 months, NCLT mandatory
  • Fast-track for truly defunct LLPs (nil operations + nil balance sheet): LLP-24 preferred
  • Creditor consent: required for LLP-24 if any dues existed in the past 3 years

Why LLP and company dissolution are not interchangeable

A common error is treating LLP dissolution as a simple variant of company strike-off. The LLP Act 2008 is a standalone statute — it does not incorporate the Companies Act provisions by default. Partnership liability, DPIN rules, LLP Agreement obligations, and the dissolution conditions all have LLP-specific treatment.

In particular, partner liability after dissolution differs: unlike directors in a struck-off company (who face DIN deactivation and a 3-year ban), LLP partners retain their DPINs and can be designated partners in new LLPs immediately, unless the LLP was compulsorily struck off.

Government fees

Fee breakdown

ItemFeeNotes
Form LLP-24 filing fee₹10,000Payable at MCA portal
Affidavit stamp dutyState-specific₹100–₹500 typically

Timeline

Typical turnaround

Typical timeline usually means a 9 months turnaround, assuming documents are complete and any board or shareholder approvals are already in place.

Pricing note

Professional fee. Government fee ₹10,000 (Form LLP-24).

FAQ

Frequently asked questions

Which law governs LLP dissolution and what form must be filed?
LLP dissolution is governed by the Limited Liability Partnership Act 2008 — a separate statute from the Companies Act 2013. Voluntary winding up is under Section 63 of the LLP Act 2008, and the application is filed using Form LLP-24 with the Registrar of Companies. Do not use Form STK-2, which applies only to companies under Section 248 of the Companies Act 2013.
Must all overdue annual filings be cleared before applying for dissolution?
Yes. The LLP must file all overdue annual returns (Form 11) and annual statements of accounts and solvency (Form 8) before submitting Form LLP-24. The ROC will reject the dissolution application if any Form 8 or Form 11 filings are outstanding. Clear all compliance arrears first, even for years when the LLP was dormant.
What declaration is required from partners when filing Form LLP-24?
All designated partners must submit a declaration of no liability confirming that the LLP has no debts, has not commenced business or has ceased all operations, and has no pending litigation. This declaration accompanies the last audited or CA-certified balance sheet showing nil assets and nil liabilities, as required under Rule 37 of the LLP Rules 2009.
What if the LLP was formed but never started business?
Under Section 75 of the LLP Act 2008, the ROC has power to strike off an LLP that has not commenced business within 1 year of incorporation. Partners may also proactively apply using Form LLP-24 before the ROC initiates suo-motu action. In either case, income tax clearance and a nil balance sheet must be submitted before the ROC issues the strike-off order.
What happens after Form LLP-24 is accepted by the ROC?
Once the ROC is satisfied with the Form LLP-24 application, it publishes a dissolution notice in the Official Gazette. A 30-day window is given for any creditor or affected party to raise objections. If no valid objections are received within 30 days of the Gazette notice, the ROC issues the dissolution order and strikes the LLP name off the register under Section 63 of the LLP Act 2008.

Canonical reference: https://www.pvtltd.co/services/llp-dissolution

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Before you dissolve

Why dissolve when you can sell?

An LLP with clients, contracts, or a sector licence may have more value than you realise. pvtltd.co runs a classifieds board where founders list businesses for sale — including LLPs. A buyer takes over the entity, and you exit cleanly without the 9-month dissolution timeline.