Conversion from Proprietorship to Partnership

Vinod Kumar K (Querist) 26 July 2009 This query is : Resolved
Sir, I have proprietorship business having VAT licence, Trade licence etc. for the said business and now due to my financial crisis and to run the business want to invite a partner and forming a partnership business. Please I want guidlines is it possible to transfer VAT licence, Trade licence, etc. relating to my proprietory business to partnership?

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A. A. JOSE (Expert) 26 July 2009
Prima facie, it is felt that you have to go for fresh licences in the name of the Partnership firm. However, you are advised to contact the concerned departments if they would allow transfer of your existing licences.

A V Vishal (Expert) 26 July 2009
Vinod

It is not possible to transfer the VAT registration, Trade License etc... held in the name of the proprietary concern to the partnership, you will have to surrender all the licenses and apply fresh in the name of the partnership.