Private Limited vs LLP

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Ankur Singhal

Student

34 Points Joined January 2014

Hi I want to incorporate a enterprise. Basic purpose of creation is to give loan to a public company of Rs 75 lakh & later on become their shareholder. Shall I open Pvt lmt or LLP??

If I open Pvt Ltd & show share capital of Rs 75 lakh or more, than I need to pay higher amount of stamp duty. Please suggest sny other option through which I can introduce money in Pvt limited without paying any extra amount.

If I go with LLP in this case, do I need still need to pay stamp duty on capital?

Replies (2)

sabyasachi mukherjee

28022 Points Joined May 2017

Private limited vs llp

Chirag

Professional

1979 Points Joined December 2017

Loan & Investment company required registration as NBFC ,so the company form of business is suitable , it all depends on the what constitute ordinary course of business ,like Giving Loan to Public company is A Basic Lending transaction if it's a part of objective then registration from RBI requires...else you can directly become shareholder by LLP mode only....For taxation point of view ,I think LLP & Cos are in same tax bracket ( For Capital Gains ) Except NBFC license when tax rate reduced...so it all depends on the end purpose and intent..

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