Table of Contents
What is a Partnership Firm in India?
The Indian Partnership Act, 1932 governs and regulates partnership firms in India.
A Firm is called a partnership firm when two or more persons come together into partnership with one another to carry on a business. The individual who comes together are called partners and collectively called partnership firm, and the name under which their business is carried on is called the “Firm Name”
How much does it Cost to Register a Partnership Firm in India?
The registration cost of a Partnership Firm in India varies from State to State according to their stamp duty rules. Here’s a list of the total cost of registration of partnership deed for each state depending on the capital invested by the Partners.
| State | Cost of Stamp Duty | Less Than 1 Lakh | Rs. 1 Lakh to Rs. 5 Lakh | Rs. 5 Lakh To Rs. 10 Lakh | Above Rs. 10 Lakh |
| Andhra Pradesh | 100 for capital 5000, Rs. 500 for other cases | 500 | 500 | 500 | 500 |
| Arunachal Pradesh | Capital is up to Rs. 1000 – Rs. 30 Other cases Rs. 100 | 100 | 100 | 100 | 100 |
| Assam | Capital is upto Rs. 1000 – Then Rs. 20 Above Rs. 1000 – Rs. 100 | 100 | 100 | 100 | 100 |
| Bihar | If capital disclosed then 2.5% Maximum – Rs. 10,000 If Capital Not Disclosed -Rs. 10,000 | 2500 | 5000 | 5000 | 5000 |
| Chandigarh | Rs. 500 | 500 | 500 | 500 | 500 |
| Chhattisgarh | Capital is upto 50K Then Rs. 1,000 Capital more than 50K Then 2% Maximum = Rs. 5000 | 2000 | 2000-5000 | 5000 | 5000 |
| Delhi | 1% of Capital Min -Rs. 200 Max -Rs. 5000 | 1000 | 2000 – 5000 | 5000 | 5000 |
| Goa | Capital is less than 50K Then Rs. 500 Every addition cap of 50K – Add Rs. 500 Maximum – Rs. 5000 | 150 | 150 | 150 | 150 |
| Gujarat | Rs. 1 for every 100 capital or part thereof Max- Rs. 10,000 | 1000 | 2000-5000 | 6000-10000 | 10000 |
| Haryana | Rs. 1000 | 1000 | 1000 | 1000 | 1000 |
| Himachal Pradesh | Rs. 100 | 100 | 100 | 100 | 100 |
| Jammu & Kashmir Jammu | Capital upto 50K – Rs. 1000 Capital Exceeding 50K – 2% | 100 | 100 | 100 | 100 |
| Jharkhand | If capital disclosed then 2.5% Maximum – Rs. 10,000 If Capital Not Disclosed -Rs. 10,000 | 2500 | 5000 | 5000 | 5000 |
| Karnataka | Rs. 2000 | 1000 | 1000 | 1000 | 2000 |
| Kerala | Flat Rs. 5000 at all Capital Levels | 5000 | 5000 | 5000 | 5000 |
| Madhya Pradesh | Minimum Rs. 2000 Maximum Rs. 10,000 Standard Rate @ 2% of Capital | 2000 | 2000-5000 | 5000 | 5000 |
| Maharashtra | Capital upto 50000 – Rs. 500 Exceeding 50,000 – 1% (Max 15,000) | 1000 | 1% of Capital | 1% of Capital | 1% of Capital |
| Manipur | Rs. 100 | 100 | 100 | 100 | 100 |
| Meghalaya | Rs. 100 | 100 | 100 | 100 | 100 |
| Mizoram | Rs. 100 | 100 | 100 | 100 | 100 |
| Nagaland | Rs. 100 | 100 | 100 | 100 | 100 |
| Orissa | Capital is upto Rs. 500 – Rs. 50 Other Cases – Rs.2000 | 200 | 200 | 200 | 200 |
| Punjab | Capital is upto Rs. 500 – Rs. 4 Other Cases – Rs.1000 | 1000 | 1000 | 1000 | 1000 |
| Rajasthan | For Every Rs. 50000 – Rs. 2000/- Maximum Rs. 10,000 | 500 | 500 | 500 | 500 |
| Sikkim | Rs. 100 | 100 | 100 | 100 | 100 |
| Tamil Nadu | Capital upto Rs. 500 – Rs. 50/- In any other case – Rs. 3000/- | 300 | 300 | 300 | 300 |
| Telangana | Rs. 100/- for capital upto Rs. 5000/- Rs. 300/- In all other cases | 50 | 100 | 100 | 200 |
| Tripura | Rs. 100 | 100 | 100 | 100 | 100 |
| Uttar Pradesh | Rs. 750 | 750 | 750 | 750 | 750 |
| Uttarakhand | Rs. 750 | 750 | 750 | 750 | 750 |
| West Bengal | Rs. 150 | 150 | 150 | 150 | 150 |
How to register a Partnership Firm in India?
Step 1: Register for Partnership Firm with eSahayak
Step 2: Registration under Income Tax and Issuance of PAN
Step 3: GST registration and Bank Account Opening
Step 4: Selection of a Unique Name of the Partnership Firm
Step 5: Getting the Certificate of Registration
What documents are required to register a Partnership Firm In India?
The application for the Partnership registration form must include the prescribed documents like the Identity proof, address proof, a real copy of the Partnership deed entered into, and the proof of the principal place of business.
The following documents can be submitted as identity proof:
- PAN card
- Passport
- Driver License
- Aadhar Card
- Voters ID
Following Documents can be used as the proof of business premise:
- Sale Deed in case if the Partner owns the place
- Rental agreement copy if the office is on rental basis
- Copy of the latest electricity bill or the tax bill receipt
Checklist for Partnership Firm Registration
- Draft a partnership deed by clicking here
- Name and address of the firm and all the partners
- Deciding on the Nature of business
- Capital to be contributed by each partner
- Date of starting of Business capital to be contributed by each partner
- Profit/ Loss Sharing ratio among each partner
Important Clauses to be added in Registration of a Partnership Deed?
- Profit-Sharing Clause
- Capital Contribution Clause
- Dispute Resolution Clause
- Retirement/termination clause