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Recently Answered Questions
No. A LLP is not stuck if it does not do any business.
Whether the LLP does business or not, it is supposed to complete the applicable compliances like any other LLP in business. The penalties for not filing these compliances or the delay in filing are on a per day basis and pile up, in case of any delay.
Last year there were cases whe...
Wazzeer Professional Network
ProfessionalWould LLP be struck off automatically if there is no transaction for 1 year
-
Wazzeer Professional Network
ProfessionalNo. A LLP is not stuck if it does not do any business.
Whether the LLP does business or not, it is supposed to complete the applicable compliances like any other LLP in business. The penalties for not filing these compliances or the delay in filing are on a per day basis and pile up, in case of any delay.
Last year there were cases where the government decided to strile off a company or LLP due to non filing of the returns for many years. They have also suspended the directors/ partners of these companies. In such cases, the government reserves the rights to take actions on the directors/ promoters of the company, which might include fine and/ or jail term.
7 months ago
View answer
Would LLP be struck off automatically if there is no transaction for 1 year
-
Wazzeer Professional Network
ProfessionalNo. A LLP is not stuck if it does not do any business.
Whether the LLP does business or not, it is supposed to complete the applicable compliances like any other LLP in business. The penalties for not filing these compliances or the delay in filing are on a per day basis and pile up, in case of any delay.
Last year there were cases where the government decided to strile off a company or LLP due to non filing of the returns for many years. They have also suspended the directors/ partners of these companies. In such cases, the government reserves the rights to take actions on the directors/ promoters of the company, which might include fine and/ or jail term.
7 months ago
Any company registered in India must have at least one resident Indian as a direcors.
Yes, a subsidiary in India can have a director (Resident Indian or otherwise) common with the parent entity.
In case, the Indian entity is either billing or making a payment to the parent entity, Transfer Pricing (along with its compliances) wil...
Wazzeer Professional Network
ProfessionalCan a foreign company and its subsidiary in India have a common Indian resident Director ? If yes, is there any cons regarding taxation etc.
-
Wazzeer Professional Network
ProfessionalAny company registered in India must have at least one resident Indian as a direcors.
Yes, a subsidiary in India can have a director (Resident Indian or otherwise) common with the parent entity.
In case, the Indian entity is either billing or making a payment to the parent entity, Transfer Pricing (along with its compliances) will be applicable, since this will fall under related party transaction. This, however, will be the case even if there are no common directors, since the shares are held by the parent entity. There aren't any extra tax liability on the company for having common directors with the parent entity.
In case you need support with setting up and operating an Indian subsidiary in India, please reach out to us at enquire@wazzeer.com.
7 months ago
View answer
Can a foreign company and its subsidiary in India have a common Indian resident Director ? If yes, is there any cons regarding taxation etc.
-
Wazzeer Professional Network
ProfessionalAny company registered in India must have at least one resident Indian as a direcors.
Yes, a subsidiary in India can have a director (Resident Indian or otherwise) common with the parent entity.
In case, the Indian entity is either billing or making a payment to the parent entity, Transfer Pricing (along with its compliances) will be applicable, since this will fall under related party transaction. This, however, will be the case even if there are no common directors, since the shares are held by the parent entity. There aren't any extra tax liability on the company for having common directors with the parent entity.
In case you need support with setting up and operating an Indian subsidiary in India, please reach out to us at enquire@wazzeer.com.
7 months ago
From the facts provided, it emerges that MOU’s were entered into between the parties regarding the capital to be invested and the sharing of profits. For absolute clarity on the issue, the terms and conditions of the MOU’s including the obligations of the respective parties are required to be seen. But from a perusal of the factual narrati...
Wazzeer Professional Network
ProfessionalI helped one of my relatives financially and getting all documentation and legal work done in getting approvals to start a petrol bunk on her name. Initially, before the application was filed to Bharat petrol bunk, we made an MOU and got the franking done in sub-registrar office on 20Rs stamp papers with terms and conditions that she should pay me 51% of profit quartley.
After Bharat petroleum approved the bunk and given Letter of Intent, my relative insisted to create another MOU with 50:50 profit ratio to be shared quarterly. New MOU created with her husband as one of the witnesse and franking did in sub-registrar office on an Rs. 500 stamp paper. the initial MOU was deliberately taken by my relative. I have the Original copy of the 2nd MOU. I have given cheques for ~8 lac and cash about 2lac which is mentioned with full details in MOU 2. Now, the Petrol bunk is starting in next 15 days. My relative is saying that she will give interest and some more money as a premium for the financial support i have provided but will not give a profit at all.. and will not go by MOU. She says that she can give money to 20 lawyers but not allow profit sharing. Kindly advice how to approach on this, please? Kindly let me know what the kind Justice in this regard.
-
Wazzeer Professional Network
ProfessionalFrom the facts provided, it emerges that MOU’s were entered into between the parties regarding the capital to be invested and the sharing of profits. For absolute clarity on the issue, the terms and conditions of the MOU’s including the obligations of the respective parties are required to be seen. But from a perusal of the factual narration and assuming that there is an unequivocal obligation on the other party to share the profits in the MOU, appropriate proceedings before the Court of competent jurisdiction can be initiated claiming damages for breach of MOU/Contract by the other part in case the other part refuses to fulfil its payment obligations under the contract/MOU. The original/copies of the MOU’s, correspondence between the parties etc., would have to be perused for further assistance.
about 1 year ago
View answer
I helped one of my relatives financially and getting all documentation and legal work done in getting approvals to start a petrol bunk on her name. Initially, before the application was filed to Bharat petrol bunk, we made an MOU and got the franking done in sub-registrar office on 20Rs stamp papers with terms and conditions that she should pay me 51% of profit quartley.
After Bharat petroleum approved the bunk and given Letter of Intent, my relative insisted to create another MOU with 50:50 profit ratio to be shared quarterly. New MOU created with her husband as one of the witnesse and franking did in sub-registrar office on an Rs. 500 stamp paper. the initial MOU was deliberately taken by my relative. I have the Original copy of the 2nd MOU. I have given cheques for ~8 lac and cash about 2lac which is mentioned with full details in MOU 2. Now, the Petrol bunk is starting in next 15 days. My relative is saying that she will give interest and some more money as a premium for the financial support i have provided but will not give a profit at all.. and will not go by MOU. She says that she can give money to 20 lawyers but not allow profit sharing. Kindly advice how to approach on this, please? Kindly let me know what the kind Justice in this regard.
-
Wazzeer Professional Network
ProfessionalFrom the facts provided, it emerges that MOU’s were entered into between the parties regarding the capital to be invested and the sharing of profits. For absolute clarity on the issue, the terms and conditions of the MOU’s including the obligations of the respective parties are required to be seen. But from a perusal of the factual narration and assuming that there is an unequivocal obligation on the other party to share the profits in the MOU, appropriate proceedings before the Court of competent jurisdiction can be initiated claiming damages for breach of MOU/Contract by the other part in case the other part refuses to fulfil its payment obligations under the contract/MOU. The original/copies of the MOU’s, correspondence between the parties etc., would have to be perused for further assistance.
about 1 year ago
It emerges that the person in Punjab has no privity with any of the vendors in Delhi directly since the supply of the goods, receipt of the payment etc. was done in your name/bank account. It is understood from the facts stated that the payment for the goods have been made and there was no issue raised by the person at the first instance before making...
Wazzeer Professional Network
ProfessionalA friend of mine, from Punjab, runs an authorized franchise of apparel store in Amritsar. On my visit to his store, he requested me if I can help him locate any places to buy original/duplicate fashion apparel in my city i.e. Delhi. As his authorized distributor purchase products from Delhi and use to charge heavy amount on the same from him. I found a couple of vendors who sell the products he required, and I started helping my friend by purchasing things from Delhi and he use to pay me through cash transfer in my bank account. Am not a professional buyer/nor a businessman.
Though no terms and conditions were signed, no commission or percentage was set among us. I use to charge only patrol fair i.e. 200-300 rupees. And he was happy with this system as he was saving and making huge money out of it. Now after he has purchased products in installments (6 months) worth 9.5 lakhs and paid 9.3 lakhs to me, he is complaining as some (10%) of the products are not as he asked for though he’s forcing me to get it returned and asking me to pay his money back. I am nowhere in a condition to pay him anything as I don’t have any source to sell them or return them because there was no refund policy between me and him nor with the vendor I purchased from. All these deals were done on mobile messages through “WhatsApp” between me, him and other vendors. All the money transferred to me was through cash deposits in my bank. No invoice/quotes were provided or signed. I have not charged any commission on the products, but he’s forcing me to pay him. What shall I do?
-
Wazzeer Professional Network
ProfessionalIt emerges that the person in Punjab has no privity with any of the vendors in Delhi directly since the supply of the goods, receipt of the payment etc. was done in your name/bank account. It is understood from the facts stated that the payment for the goods have been made and there was no issue raised by the person at the first instance before making payment. Further, no invoices exist or no consideration was given to you for the services extended. In these circumstances, it would be difficult for the person to prove any claims before the courts against you although there is not denying the fact that you were part of the transaction. However, rather than escalating the issue and avoiding any litigation costs, it would be advisable to discuss with the vendor and the get the goods replaced, if possible.
about 1 year ago
View answer
A friend of mine, from Punjab, runs an authorized franchise of apparel store in Amritsar. On my visit to his store, he requested me if I can help him locate any places to buy original/duplicate fashion apparel in my city i.e. Delhi. As his authorized distributor purchase products from Delhi and use to charge heavy amount on the same from him. I found a couple of vendors who sell the products he required, and I started helping my friend by purchasing things from Delhi and he use to pay me through cash transfer in my bank account. Am not a professional buyer/nor a businessman.
Though no terms and conditions were signed, no commission or percentage was set among us. I use to charge only patrol fair i.e. 200-300 rupees. And he was happy with this system as he was saving and making huge money out of it. Now after he has purchased products in installments (6 months) worth 9.5 lakhs and paid 9.3 lakhs to me, he is complaining as some (10%) of the products are not as he asked for though he’s forcing me to get it returned and asking me to pay his money back. I am nowhere in a condition to pay him anything as I don’t have any source to sell them or return them because there was no refund policy between me and him nor with the vendor I purchased from. All these deals were done on mobile messages through “WhatsApp” between me, him and other vendors. All the money transferred to me was through cash deposits in my bank. No invoice/quotes were provided or signed. I have not charged any commission on the products, but he’s forcing me to pay him. What shall I do?
-
Wazzeer Professional Network
ProfessionalIt emerges that the person in Punjab has no privity with any of the vendors in Delhi directly since the supply of the goods, receipt of the payment etc. was done in your name/bank account. It is understood from the facts stated that the payment for the goods have been made and there was no issue raised by the person at the first instance before making payment. Further, no invoices exist or no consideration was given to you for the services extended. In these circumstances, it would be difficult for the person to prove any claims before the courts against you although there is not denying the fact that you were part of the transaction. However, rather than escalating the issue and avoiding any litigation costs, it would be advisable to discuss with the vendor and the get the goods replaced, if possible.
about 1 year ago
No. A LLP is not stuck if it does not do any business.
Whether the LLP does business or not, it is supposed to complete the applicable compliances like any other LLP in business. The penalties for not filing these compliances or the delay in filing are on a per day basis and pile up, in case of any delay.
Last year there were cases whe...
Wazzeer Professional Network
ProfessionalWould LLP be struck off automatically if there is no transaction for 1 year
-
Wazzeer Professional Network
ProfessionalNo. A LLP is not stuck if it does not do any business.
Whether the LLP does business or not, it is supposed to complete the applicable compliances like any other LLP in business. The penalties for not filing these compliances or the delay in filing are on a per day basis and pile up, in case of any delay.
Last year there were cases where the government decided to strile off a company or LLP due to non filing of the returns for many years. They have also suspended the directors/ partners of these companies. In such cases, the government reserves the rights to take actions on the directors/ promoters of the company, which might include fine and/ or jail term.
7 months ago
View answer
Would LLP be struck off automatically if there is no transaction for 1 year
-
Wazzeer Professional Network
ProfessionalNo. A LLP is not stuck if it does not do any business.
Whether the LLP does business or not, it is supposed to complete the applicable compliances like any other LLP in business. The penalties for not filing these compliances or the delay in filing are on a per day basis and pile up, in case of any delay.
Last year there were cases where the government decided to strile off a company or LLP due to non filing of the returns for many years. They have also suspended the directors/ partners of these companies. In such cases, the government reserves the rights to take actions on the directors/ promoters of the company, which might include fine and/ or jail term.
7 months ago
From the facts provided, it emerges that MOU’s were entered into between the parties regarding the capital to be invested and the sharing of profits. For absolute clarity on the issue, the terms and conditions of the MOU’s including the obligations of the respective parties are required to be seen. But from a perusal of the factual narrati...
Wazzeer Professional Network
ProfessionalI helped one of my relatives financially and getting all documentation and legal work done in getting approvals to start a petrol bunk on her name. Initially, before the application was filed to Bharat petrol bunk, we made an MOU and got the franking done in sub-registrar office on 20Rs stamp papers with terms and conditions that she should pay me 51% of profit quartley.
After Bharat petroleum approved the bunk and given Letter of Intent, my relative insisted to create another MOU with 50:50 profit ratio to be shared quarterly. New MOU created with her husband as one of the witnesse and franking did in sub-registrar office on an Rs. 500 stamp paper. the initial MOU was deliberately taken by my relative. I have the Original copy of the 2nd MOU. I have given cheques for ~8 lac and cash about 2lac which is mentioned with full details in MOU 2. Now, the Petrol bunk is starting in next 15 days. My relative is saying that she will give interest and some more money as a premium for the financial support i have provided but will not give a profit at all.. and will not go by MOU. She says that she can give money to 20 lawyers but not allow profit sharing. Kindly advice how to approach on this, please? Kindly let me know what the kind Justice in this regard.
-
Wazzeer Professional Network
ProfessionalFrom the facts provided, it emerges that MOU’s were entered into between the parties regarding the capital to be invested and the sharing of profits. For absolute clarity on the issue, the terms and conditions of the MOU’s including the obligations of the respective parties are required to be seen. But from a perusal of the factual narration and assuming that there is an unequivocal obligation on the other party to share the profits in the MOU, appropriate proceedings before the Court of competent jurisdiction can be initiated claiming damages for breach of MOU/Contract by the other part in case the other part refuses to fulfil its payment obligations under the contract/MOU. The original/copies of the MOU’s, correspondence between the parties etc., would have to be perused for further assistance.
about 1 year ago
View answer
I helped one of my relatives financially and getting all documentation and legal work done in getting approvals to start a petrol bunk on her name. Initially, before the application was filed to Bharat petrol bunk, we made an MOU and got the franking done in sub-registrar office on 20Rs stamp papers with terms and conditions that she should pay me 51% of profit quartley.
After Bharat petroleum approved the bunk and given Letter of Intent, my relative insisted to create another MOU with 50:50 profit ratio to be shared quarterly. New MOU created with her husband as one of the witnesse and franking did in sub-registrar office on an Rs. 500 stamp paper. the initial MOU was deliberately taken by my relative. I have the Original copy of the 2nd MOU. I have given cheques for ~8 lac and cash about 2lac which is mentioned with full details in MOU 2. Now, the Petrol bunk is starting in next 15 days. My relative is saying that she will give interest and some more money as a premium for the financial support i have provided but will not give a profit at all.. and will not go by MOU. She says that she can give money to 20 lawyers but not allow profit sharing. Kindly advice how to approach on this, please? Kindly let me know what the kind Justice in this regard.
-
Wazzeer Professional Network
ProfessionalFrom the facts provided, it emerges that MOU’s were entered into between the parties regarding the capital to be invested and the sharing of profits. For absolute clarity on the issue, the terms and conditions of the MOU’s including the obligations of the respective parties are required to be seen. But from a perusal of the factual narration and assuming that there is an unequivocal obligation on the other party to share the profits in the MOU, appropriate proceedings before the Court of competent jurisdiction can be initiated claiming damages for breach of MOU/Contract by the other part in case the other part refuses to fulfil its payment obligations under the contract/MOU. The original/copies of the MOU’s, correspondence between the parties etc., would have to be perused for further assistance.
about 1 year ago
It emerges that the person in Punjab has no privity with any of the vendors in Delhi directly since the supply of the goods, receipt of the payment etc. was done in your name/bank account. It is understood from the facts stated that the payment for the goods have been made and there was no issue raised by the person at the first instance before making...
Wazzeer Professional Network
ProfessionalA friend of mine, from Punjab, runs an authorized franchise of apparel store in Amritsar. On my visit to his store, he requested me if I can help him locate any places to buy original/duplicate fashion apparel in my city i.e. Delhi. As his authorized distributor purchase products from Delhi and use to charge heavy amount on the same from him. I found a couple of vendors who sell the products he required, and I started helping my friend by purchasing things from Delhi and he use to pay me through cash transfer in my bank account. Am not a professional buyer/nor a businessman.
Though no terms and conditions were signed, no commission or percentage was set among us. I use to charge only patrol fair i.e. 200-300 rupees. And he was happy with this system as he was saving and making huge money out of it. Now after he has purchased products in installments (6 months) worth 9.5 lakhs and paid 9.3 lakhs to me, he is complaining as some (10%) of the products are not as he asked for though he’s forcing me to get it returned and asking me to pay his money back. I am nowhere in a condition to pay him anything as I don’t have any source to sell them or return them because there was no refund policy between me and him nor with the vendor I purchased from. All these deals were done on mobile messages through “WhatsApp” between me, him and other vendors. All the money transferred to me was through cash deposits in my bank. No invoice/quotes were provided or signed. I have not charged any commission on the products, but he’s forcing me to pay him. What shall I do?
-
Wazzeer Professional Network
ProfessionalIt emerges that the person in Punjab has no privity with any of the vendors in Delhi directly since the supply of the goods, receipt of the payment etc. was done in your name/bank account. It is understood from the facts stated that the payment for the goods have been made and there was no issue raised by the person at the first instance before making payment. Further, no invoices exist or no consideration was given to you for the services extended. In these circumstances, it would be difficult for the person to prove any claims before the courts against you although there is not denying the fact that you were part of the transaction. However, rather than escalating the issue and avoiding any litigation costs, it would be advisable to discuss with the vendor and the get the goods replaced, if possible.
about 1 year ago
View answer
A friend of mine, from Punjab, runs an authorized franchise of apparel store in Amritsar. On my visit to his store, he requested me if I can help him locate any places to buy original/duplicate fashion apparel in my city i.e. Delhi. As his authorized distributor purchase products from Delhi and use to charge heavy amount on the same from him. I found a couple of vendors who sell the products he required, and I started helping my friend by purchasing things from Delhi and he use to pay me through cash transfer in my bank account. Am not a professional buyer/nor a businessman.
Though no terms and conditions were signed, no commission or percentage was set among us. I use to charge only patrol fair i.e. 200-300 rupees. And he was happy with this system as he was saving and making huge money out of it. Now after he has purchased products in installments (6 months) worth 9.5 lakhs and paid 9.3 lakhs to me, he is complaining as some (10%) of the products are not as he asked for though he’s forcing me to get it returned and asking me to pay his money back. I am nowhere in a condition to pay him anything as I don’t have any source to sell them or return them because there was no refund policy between me and him nor with the vendor I purchased from. All these deals were done on mobile messages through “WhatsApp” between me, him and other vendors. All the money transferred to me was through cash deposits in my bank. No invoice/quotes were provided or signed. I have not charged any commission on the products, but he’s forcing me to pay him. What shall I do?
-
Wazzeer Professional Network
ProfessionalIt emerges that the person in Punjab has no privity with any of the vendors in Delhi directly since the supply of the goods, receipt of the payment etc. was done in your name/bank account. It is understood from the facts stated that the payment for the goods have been made and there was no issue raised by the person at the first instance before making payment. Further, no invoices exist or no consideration was given to you for the services extended. In these circumstances, it would be difficult for the person to prove any claims before the courts against you although there is not denying the fact that you were part of the transaction. However, rather than escalating the issue and avoiding any litigation costs, it would be advisable to discuss with the vendor and the get the goods replaced, if possible.
about 1 year ago
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