Asset - Land in the name of partners, not purchased by the partnership firm but introduced as capital by partners in the partnership firm and the Building on the said land built by the partnership firm. The above said assets i.e land needs to be divided among the partners in a specific ratio with the building also area also to be divided in the specific ratio. Can the two partners get legal rights of the building and land so divided and how can it be done. Is stamp duty to be paid and if so on which value.
Since, this is not held by the partnership, the contribution/capital that was initially introduced by the partners may be withdrawn by them.
If the partners are willing to arrive at a settlement with respect to this, they may record the same in terms of a settlement deed, which will be required to mandatorily stamped and registered.
Divide the property as a settlement and get the same registered.
Stamp duty will not have to be paid.
Contact a local lawyer
If you two agree for the division then the same will be an easy process.
Regards
BY REGISTERING A PARTITION DEED THE PROPERTY CAN BE LEGALLY DIVIDED INTO TWO SHARES
1% OF STAMP DUTY SHOULD BE PAID ON THE MARKET VALUE OF THE PROPERTY IF IT IS BELOW 25,00,000 :) IF ABOVE then Rs.25,00,000/- ONLY 25,000 SHOULD BE PAID as stamp duty
Hi, a MOU can be made between the partners , dividing and sharing the building and the land .. You can register the MOU before the registrar
1. the partners have invested their capital in the form of land having some value.
2. The building has been constructed by the firm on the land which is the capital of the two partners.
3. The entire building along with the land and also other assets of the firm shall have to be divided in proportion to the capital invested by the partners i.e. the share of their peaces of land.
4. In the instant case, the exact land invested by the partners will not be divided but the entire building and other assets including the land will be divided proportionately based on the capital invested by the individual partners in the form of land.
If the partnership firm is to be dissolved on the basis of mutual understanding among the partners, the terms of dividing the property and other assets may be decided mutually also and a dissolution deed may be drawn accordingly.
The parties can agree to record the terms of and effectuate the dissolution of the Firm In the manner as mutually agreed by them.
If each partner is entitled to an equal share in the assets and profits of the firm, under the said Deed of Partnership, they can mutually agree to give two partners the land and the superstructure over the land exclusively on the agreed terms.
Dear Client,
Whether it is Limited Liability Partnership or normal partnership.
In the later case (normal partnership), without the partners, firm has no existence, so both partners have limited liability/share according to their contribution in business, so by mutual understanding, on dissolution of partnership, share may be divided. Definition may elaborate -
"Partnership" is the relation between persons who have agreed to share the profits of a business carried on by all or any of them acting for all.
Do the partnership has seal,
