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can proprietor of sole proprietory firm be changed


Dear all, I am a sole proprietor of a trading firm. Can I make my brother proprietor and resign myself from the firm without changing my firm's registration?
 
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Lawyer

you have to execute a transfer deed and agreement with your brother transfering all your properties and business in favour of your younger brother and the name of firm and registration continues. 

R.S.K.Singh 

 
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Thanks Rangee for the reply. I wish to know that can I transfer only business and not any other property of mine?
 
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Lawyer

You may transfer only business because if your transfer the property you have to pay stamp duty as per Registration Act You may transfer capital goods like stores tools and plants etc. the ownership of the immovable  property if held in the name of individual can be transfered only by  process of Registration by paying stamp duty etc. 

R.S.K.Singh 

 
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ha21@rediffmail.com Mumbai : 9820174108

WHILE agreeing with Adv. Rangee. here's a little more to understand :

 

1.  A business can sold & transferred only by an duly stamp duty paid & registered agreement, detailing all the assets and liabilities alongwith good-will of the business.


2.  All the Relevant authorities (Sales Tax, Service Tax and so on.... ) have to be duly informed.


Keep Smiling .... Hemant Agarwal
READ ARTICLES ON: http://hemantagarwal21.blogspot.in/?view=sidebar
 

 
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