Our partnership firm wishes to convert it as a private limited company. The Firm owns 2 Properties one in the name of the Firm and another one in the name of Partner (Who introduced the property to the firm as his capital contribution).
Now we are totally confused on the stamp duty applicability upon conversion of these properties. Read many articles stating that no stamp duty is applicable since there is no instrument is required to be executed on such transfer.
Here if the instrument is not executed or register such instrument in the name of the proposed company, the property will remain only in the name of the partnership / partner. Even if the property reflects in the balance sheet of the company as asset, the title deed and other property tax documents will remain in the name of partnership firm / partner.
Please clarify how to solve this issue
CAclubindia
