Admission of New Partner in Firm, Procedure for Regisration

Indian Partnership Act, 1932, Procedure for Registration of Deed of Admission in Maharashtra
An existing partnership firm may find it necessary to introduce new partner into the business of the firm. Such introduction of new partner is also termed as “Admission of Partner”.

Need to Admit new partner may be for various reasons. Some of them have been listed below.

1. New partner may be introducing capital for growth of existing business or starting new project (expansion/diversification of business).
2. He may be a technical person and may be capable to make technical contribution to the business of firm.
3. The existing partner may be retiring and new partner may be required to bring in capital to repay the capital of retiring partner.
4. The new paratner may be legal heir of deceased partner. 

Such partner may be admitted for various reasons.

Section 30 of Indian Partnership Act, requires that such partner can be  introduced only with the consent of all the existing partner. The consent is put in writing by signing a agreement which is called as Deed of Admission. The Deed of Admission must contain the terms regularly contained in Partnership Deed along with the terms of introduction on new partner. It may specifically contains the details of capital introduced by new partner, the new profit and loss sharing ratio amongst all partners, new terms of payment of remuneration to the partners and other terms and conditions laying down rights and duties of partners, etc.

The Deed of Admission must bear the necessary stamp payable under the stamp act applicable in the state in which the partnership deed is signed. It is also advisable to get the deed registered with the Register of Firms of the concerned state in which partnership business is constituted.

In state of Maharashtra the stamp duty payable as per Article 55 of Bombay Stamp Act, 1958 is as under.

Capital Contribution by Partner	Stamp Duty Payable
For a capital contribution of Rs. 50,000/- or less	Rs.500/-
For every additional capital of Rs. 50,000/- or part thereof	Rs. 500/-
Maximum stamp duty for any amount of capital	Rs. 5,000/-
For capital contributed in form of property	Same duty as on conveyance on market value of property under Article 25 of Bombay Stamp Act, 1958

Additional Stamp Duty at the time of admission of partner may be payable on additional contribution made by partners as evidence by Deed of Admission.

Procedure for Registration with “Registrar of Firms” as applicable in Maharashtra State.

• Application for admission of partner is to be made along with Form E.
• Application should be with Court Fee of Rs.5/-
• Form E must be signed by all partners, continuing as will as new and must be notarised by notary.
• It must be made within 90 days of admission of partner.
• Penalty of Rs.10/- per day will be imposed if application is not made within 90 days
• Application is be made along with fee of Rs.400/-.
• Certified copy of Partnership deed must be attached to the deed.
• Admission deed must also be translated in Marathi.
  
  Specimen for Form E for Maharasthra State

Specimen Letter for Appointment of Statutory Auditor under Companies Act.

SPECIMEN LETTER FOR ANNUAL REAPPOINTMENT OF CONTINUING AUDITOR
Ref…………………
28^th September, 2011


M/s K. S Gangaramani & Co.,
Chartered Accountants,
D-139, Bonanza Industrial Estate,
Ashok Charkrovarty Road, Kandivili East,
Mumbai 400101.
Sir,
Subject: Appointment as Auditor at Tenth Annual General Meting

We are pleased to inform you that your firm has been reappointed as Auditors of our company for conducting the audit under section 224 of the Companies Act, 1956. vide the resolution (reproduced below) passed at the Annual General Meeting of the Share-holders which was held on 26^th September, 2011.
“RESOLVED THAT the Auditors of the Company, M/s. K. S. Gangaramani & Co., Chartered Accountants (F. No. _______), who retire at this meeting, being eligible and willing to act as Auditors, be and are hereby reappointed as the Auditors of the company to hold office till the conclusion of the next Annual General Meeting at a remuneration to be fixed by the Board of Directors in consultation with them”
We will be grateful if you would kindly send us your acceptance of this appointment.
Yours Faithfully.
For SK Engineering Private Limited.
Director.
SPECIMEN LETTER FOR APPOINTMENT OF AUDITOR FOR FIRST TIME IN PLACE OF RETIRING AUDITOR
28^th September, 2011


M/s K. S Gangaramani & Co.,
Chartered Accountants,
D-139, Bonanza Industrial Estate,
Ashok Charkrovarty Road, Kandivili East,
Mumbai 400101.
Sir,
Subject: Appointment as Auditor at Tenth Annual General Meting

We are pleased to inform you that your firm has been reappointed as Auditors of our company for conducting the audit under section 224 of the Companies Act, 1956. vide the resolution (reproduced below) passed at the Annual General Meeting of the Share-holders which was held on 26^th September, 2011.
“RESOLVED THAT the Auditors of the Company, M/s. K. S. Gangaramani & Co., Chartered Accountants (F. No. _______), who retire at this meeting, being eligible and willing to act as Auditors, be and are hereby reappointed as the Auditors of the company to hold office till the conclusion of the next Annual General Meeting at a remuneration to be fixed by the Board of Directors in consultation with them”
Last Audit has been conducted by M/s. ________________________, Chartered Accountants, ___________________________________(Address)
We will be grateful if you would kindly send us your acceptance of this appointment.
Yours Faithfully.
For SK Engineering Private Limited.
Director.

Revision of Post Office Interest Rates form 1st December, 2011

 

Department of Post have issued various notification to give effect to decision of Ministry of Finance taken on 11th November, 2011. The decision was to review the increase rate of interest on various Post Office Schemes and make necessary changes in duration of scheme, payment of commission, etc.

It is notified that these decision will come in force from 1st December, 2011.

The notification pertains to discontinuing Kissan Vikas Patra (KVP) from 1-12-2011

Maturity period of 6 years National Saving Certificate) issued after 1-12-2011 will be 5 years only and maturity amount will be Rs.150.90p for every Rs.100/- The interest works out to be 8.4% p.a. compounded half yearly. Amount of Maximum deposit to be made in Public Provident Fund (PPF) account during the financial year has been raised to Rs.1,00,000/- instead of Rs.70,000/-. This is applicable to new account opened after 1-12-2011 as well as existing account. Interest on subscription made to deposit in PPF account after 1-12-2011 and on credit balance in the account will bear interest @ 8.6% p.a.

Interest on loans against PPF account will be charged @2% instead of 1%.

Post Office Monthly Income Scheme (MIS), new account opened on or after 1-12-2011, will be for 5 years only as against 6 years period. Interest rate has been increased form 8% to 8.2% per annum and interest will be calculated annually. There will be no maturity bonus of 5% for accounts opened after 1-12-2011.

Balance at Credit in Post office Saving Account will fetch interest of 4% as against 3.5% previously.

Post office Term Deposits will be for period of 1,2,3 &5 years and will fetch interest @ 7.7%. 7.8%, 8.0% & 8.3% respectively. Interest will be compounded Quarterly. If deposits are prematurely withdrawn after six months but before one year form date of deposit, then saving bank rate of interest applicable for time to time shall be paid. In case of deposit of period of more then 1 year, then interest for rate applicable for rate of deposit for period of holding after reducing 1% form the rate.

Post of Recurring deposit rate has been increased form 7.5% to 8%. A monthly deposit of Rs.10/- p.m. will fetch Rs.738.62 at the end of the period.

 

Similarly other decision will come in effect from 1-12-2011

Decision of Mof on 11-11-2011

Review of National Small Savings Fund (NSSF) by Ministry of Finance on 11-11-2011

 

Ministry of Finance, Department of Economic Affairs (Budget Division), New Delhi,  vide its Office Memorandum dated the 11th November, 2011 has taken various decision on various parameters of operation of Small Saving Schemes operated by Post Office and other departments.

Some of decision effecting small saving investors are as under

1. Kisan Vikas Patras (KVPs) will be discontinued
2. The maturity period for Monthly Income Scheme (MIS) and National Savings Certificate (NSC) will be reduced from 6 years to 5 years.
3. A new NSC instrument, with maturity period of 10 years, would be introduced.
4. The annual ceiling on investment under Public Provident Fund (PPF) Scheme will be increased from Rs. 70,000 to Rs. 1 lakh.
5. Interest on loans obtained from PPF will be increased to 2% p.a. from existing 1% p.a.
6. Liquidity of Post Office Time Deposit (POTD) – 1, 2, 3 & 5 years – will be improved by allowing pre-mature withdrawal at a rate of interest 1% less than the time deposits of comparable maturity. For pre-mature withdrawals between 6-12 months of investment, Post Office Savings Account (POSA) rate of interest will be paid.

Interest Rates on Small Savings Instruments have been increased as under:

1. The rate of interest paid under Post Office Savings Account (POSA) will be increased from 3.5% to 4% p.a.
2. The rate of interest on small savings schemes will be aligned with G-Sec rates of similar maturity, with a spread of 25 basis points (bps) with two exceptions.
3. The spread on 10 year NSC (new instrument) will be 50 bps and on Senior Citizens Savings Scheme 100 bps. The interest rates for every financial year will be notified before 1 st April of that year.
4. Assuming the date of implementation of the recommendations of the Committee as 1 st December, 2011, the rate of interest on various small savings schemes for current financial year on the basis of the interest compounding/payment built in the schemes, will be as given below:-

   Instrument	Current Rate (%)	Proposed Rate (%)
   Savings Deposit	3.50	4.0
   1 year Time Deposit	6.25	7.7
   2 year Time Deposit	6.50	7.8
   3 year Time Deposit	7.25	8.0
   5 year Time Deposit	7.50	8.3
   5 year Recurring Deposit	7.50	8.0
   5-year SCSS	9.00	9.0
   5 year MIS	8.00 (6 year MIS)	8.2
   5 year NSC	8.00 (6 year NSC)	8.4
   10 year NSC	New Instrument	8.7
   PPF	8.00	8.6

5. Payment of 5% bonus on maturity of MIS will be discontinued.

Agents Commission have also been reduced or discontinued:

1. Payment of commission on PPF schemes (1%) and Senior Citizens Savings Scheme (0.5%) will be discontinued.
2. Agency commission under all other schemes (except MPKBY agents) will be reduced from existing 1% to 0.5%.
3. Commission at existing rate of 4% will continue for Mahila Pradhan Kshetriya Bachat Yojana (MPKBY) agents.
4. Incentives, if any, paid by the State/UT Governments will be reduced from the commission paid by the Central Government.

Dates of effecting the changes are yet to be notified.