New Delhi: The Union Cabinet has cleared the 'Limited Liability Partnership Amendment Bill' to accelerate the 'Ease Of Doing Business' campaign of the government.
According to Finance Minister Nirmala Sit haraman, changes are being made in 'Companies Act', decriminalising many sections and improving the 'Ease Of Doing Business' for companies.
"A similar treatment had to be given for LLPs," she said.
Accordingly, a total of 12 offences are to be decriminalised for LLPs, and three sections will be omitted.
These amendments, she said will bring the LLPs on an equal playing field, compared to large companies which come under the 'Companies Act'.
The definition of LLP is also being changed and accordingly individual contribution level of partners being raised from Rs 25 lakh to Rs 5 crore and turnover from Rs 40 lakh to Rs 50 crore.