{"id":6446,"date":"2023-11-16T13:49:11","date_gmt":"2023-11-16T13:49:11","guid":{"rendered":"https:\/\/www.caindelhiindia.com\/blog\/?p=6446"},"modified":"2023-11-20T11:03:49","modified_gmt":"2023-11-20T11:03:49","slug":"significant-benficial-owners","status":"publish","type":"post","link":"https:\/\/www.caindelhiindia.com\/blog\/significant-benficial-owners\/","title":{"rendered":"LLP (SIGNIFICANT BENFICIAL OWNERS) RULES, 2023"},"content":{"rendered":"<p><img loading=\"lazy\" decoding=\"async\" class=\"alignnone wp-image-6447\" src=\"https:\/\/www.caindelhiindia.com\/blog\/wp-content\/uploads\/2023\/11\/LLP-SIGNIFICANT-BENFICIAL-OWNERS-RULES-2023.jpeg\" alt=\"LLP (SIGNIFICANT BENFICIAL OWNERS) RULES 2023\" width=\"754\" height=\"422\" \/><\/p>\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_58 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<p class=\"ez-toc-title\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-69da6cb7dc9ea\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-69da6cb7dc9ea\"  aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/www.caindelhiindia.com\/blog\/significant-benficial-owners\/#LIMITED_LIABILITY_PARTNERSHIP_SIGNIFICANT_BENEFICIAL_OWNERS_RULES_2023\" title=\"LIMITED LIABILITY PARTNERSHIP (SIGNIFICANT BENEFICIAL OWNERS) RULES, 2023\u00a0\">LIMITED LIABILITY PARTNERSHIP (SIGNIFICANT BENEFICIAL OWNERS) RULES, 2023\u00a0<\/a><ul class='ez-toc-list-level-3'><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/www.caindelhiindia.com\/blog\/significant-benficial-owners\/#A_LIMITED_LIABILITY_PARTNERSHIP_SIGNIFICANT_BENEFICIAL_OWNERS_RULES_2023_NON-APPLICABILITY\" title=\"A.\u00a0\u00a0\u00a0 LIMITED LIABILITY PARTNERSHIP (SIGNIFICANT BENEFICIAL OWNERS) RULES, 2023 NON-APPLICABILITY\">A.\u00a0\u00a0\u00a0 LIMITED LIABILITY PARTNERSHIP (SIGNIFICANT BENEFICIAL OWNERS) RULES, 2023 NON-APPLICABILITY<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/www.caindelhiindia.com\/blog\/significant-benficial-owners\/#The_Significant_Beneficial_Owners_Rules_shall_not_applicable_to\" title=\"The Significant Beneficial Owners Rules shall not applicable to:\">The Significant Beneficial Owners Rules shall not applicable to:<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/www.caindelhiindia.com\/blog\/significant-benficial-owners\/#B_Duties_of_the_Reporting_Limited_Liability_Partnership\" title=\"B.\u00a0\u00a0\u00a0 Duties of the Reporting Limited Liability Partnership\">B.\u00a0\u00a0\u00a0 Duties of the Reporting Limited Liability Partnership<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/www.caindelhiindia.com\/blog\/significant-benficial-owners\/#C_Important_Definitions_Provisions_of_Limited_Liability_Partnership_Significant_Beneficial_Owners_Rules_2023\" title=\"C.\u00a0\u00a0\u00a0 Important Definitions &amp; Provisions of Limited Liability Partnership (Significant Beneficial Owners) Rules, 2023\">C.\u00a0\u00a0\u00a0 Important Definitions &amp; Provisions of Limited Liability Partnership (Significant Beneficial Owners) Rules, 2023<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/www.caindelhiindia.com\/blog\/significant-benficial-owners\/#Holding_of_indirect_interest_in_a_Limited_Liability_Partnership\" title=\"Holding of indirect interest in a Limited Liability Partnership\">Holding of indirect interest in a Limited Liability Partnership<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/www.caindelhiindia.com\/blog\/significant-benficial-owners\/#Holding_of_Direct_Interest_in_Limited_Liability_Partnership\" title=\"Holding of Direct Interest in Limited Liability Partnership\">Holding of Direct Interest in Limited Liability Partnership<\/a><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h2><span class=\"ez-toc-section\" id=\"LIMITED_LIABILITY_PARTNERSHIP_SIGNIFICANT_BENEFICIAL_OWNERS_RULES_2023\"><\/span><span style=\"color: #000080;\"><strong>LIMITED LIABILITY PARTNERSHIP (SIGNIFICANT BENEFICIAL OWNERS) RULES, 2023\u00a0<\/strong><\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Ministry of Corporate Affairs issued a Notification vide notification no. G.S.R. 832(E) regarding Limited Liability Partnership (Significant Beneficial Owners) Rules, 2023 on 9th Nov 2023, requiring Limited Liability Partnership to identify &amp; Report details of Significant Beneficial Owner to Ministry of Corporate Affairs.<\/p>\n<h3><span class=\"ez-toc-section\" id=\"A_LIMITED_LIABILITY_PARTNERSHIP_SIGNIFICANT_BENEFICIAL_OWNERS_RULES_2023_NON-APPLICABILITY\"><\/span><span style=\"color: #000080;\">A.\u00a0\u00a0\u00a0 LIMITED LIABILITY PARTNERSHIP (SIGNIFICANT BENEFICIAL OWNERS) RULES, 2023 NON-APPLICABILITY<\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li>LLP Significant Beneficial Owners Rule came into force on 10th Nov 2023, ie., publication of the Ministry of Corporate Affairs notification in the official gazette.<\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"The_Significant_Beneficial_Owners_Rules_shall_not_applicable_to\"><\/span><span style=\"color: #000080;\">The Significant Beneficial Owners Rules shall not applicable to:<\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li>contribution held by the State &amp; Central Govt or local<\/li>\n<li>Limited Liability Partnership\u2019s \/entities controlled by the State &amp; Central Govt or both;\n<ul>\n<li>Investment vehicles regulated by the Reserve Bank of India or Insurance Regulatory and Development Authority or Pension Fund Regulatory and Development Authority or<\/li>\n<li>registered with the Securities and Exchange Board of India,<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"B_Duties_of_the_Reporting_Limited_Liability_Partnership\"><\/span><span style=\"color: #000080;\">B.\u00a0\u00a0\u00a0 Duties of the Reporting Limited Liability Partnership<\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li>Identification of Significant Beneficial Owners, if any, and cause such individual to make a Declaration in Form LLP BEN-1.<\/li>\n<li>Notice to identified Significant Beneficial Owners in Form LLP BEN-4, seeking prescribed information. The Significant Beneficial Owners to file information within ninety days of start of New Ministry of Corporate Affairs Significant Beneficial Owners Rules.<\/li>\n<li>Submission of Significant Beneficial Owners Return in Form LLP BEN-2 with Registrar of Companies within thirty days of receipt of the declaration from the Significant Beneficial Owners.<\/li>\n<li>Maintenance of Register of Significant Beneficial Owners in Form LLP BEN-3.<\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"C_Important_Definitions_Provisions_of_Limited_Liability_Partnership_Significant_Beneficial_Owners_Rules_2023\"><\/span><span style=\"color: #000080;\">C.\u00a0\u00a0\u00a0 Important Definitions &amp; Provisions of Limited Liability Partnership (Significant Beneficial Owners) Rules, 2023<\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<h3><span class=\"ez-toc-section\" id=\"Holding_of_indirect_interest_in_a_Limited_Liability_Partnership\"><\/span><span style=\"color: #000080;\">Holding of indirect interest in a Limited Liability Partnership<\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li>According to Ministry of Corporate Affairs &#8211; Limited Liability Partnership (Significant Beneficial Owners) Rules, 2023 Rule 3(k), a Significant Beneficial Owners means an individual having one or more of the below rights or entitlements in the reporting Limited Liability Partnership, acting alone or via one or more persons:<\/li>\n<\/ul>\n<ul>\n<li>Has right to exercise or exercises, <strong>significant influence or control<\/strong>, in any manner other than through direct holdings alone or holds, indirectly or together with any direct holdings not less than Ten percentage of the<\/li>\n<li><strong>contribution;<\/strong><\/li>\n<\/ul>\n<ul>\n<li><strong>voting rights <\/strong>in management or policy<\/li>\n<li>of the right to receive or participate of the total <strong>distributable profits <\/strong>or any other distribution in a financial year\n<ul>\n<li>An individual shall be considered to hold a right or entitlement indirectly in the reporting Limited Liability Partnership, if he satisfies any of the following below condition:-<\/li>\n<\/ul>\n<\/li>\n<li>where the partner of the reporting Limited Liability Partnership is a\n<ul>\n<li><strong>body<\/strong> <strong>corporate<\/strong> other than an Limited Liability Partnership, and the individual holds majority stake\n<ul>\n<li>in that partner, or<\/li>\n<li>the ultimate holding company of that<\/li>\n<\/ul>\n<\/li>\n<li><strong>Hindu Undivided Family<\/strong> &amp; individual is the Karta of such <strong>Hindu Undivided Family<\/strong><\/li>\n<li><strong>Partnership entity <\/strong>and the individual\n<ul>\n<li>Is a partner or<\/li>\n<li>Holds majority stake in the\n<ul>\n<li>ultimate holding company of the body corporate which is a partner of the partnership entity<\/li>\n<li>body corporate which is a partner of such partnership entity<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<ul>\n<li><strong>Pooled investment vehicle <\/strong>or entity controlled by the pooled investment vehicle based in the Member State of Financial Action Task Force on Money Laundering and the Securities Market Regulator in such Member State is a member of International Organization of Securities Commissions and the individual is a\n<ul>\n<li>Investment Manager<\/li>\n<li>General Partner or<\/li>\n<li>Chief Executive Officers where Investment Manager of such pooled vehicle is a Body Corporate or Partnership Entity<\/li>\n<li>Based in a jurisdiction who does not fulfil the requirements provided above; provisions of sub-para (a)-(d) above shall apply.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<ul>\n<li><strong>Trust <\/strong>and the individual is a\n<ul>\n<li>author or settlor (in case of a revocable trust)<\/li>\n<li>beneficiary (in case of a specific trust)<\/li>\n<li>trustee (in case of a discretionary trust or a charitable trust)<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<h3><span class=\"ez-toc-section\" id=\"Holding_of_Direct_Interest_in_Limited_Liability_Partnership\"><\/span><span style=\"color: #000080;\">Holding of Direct Interest in Limited Liability Partnership<\/span><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<ul>\n<li>An individual shall not be considered an Significant Beneficial Owners if he\/she directly holds any rights or entitlements in following manner:\n<ul>\n<li>Contribution in the reporting Limited Liability Partnership, representing such right or entitlement, is held in the name of the individual; or<\/li>\n<li>The individual holds or acquires a beneficial interest in the contribution of the reporting Limited Liability Partnership under Rule 228(2) of the Limited Liability Partnership Rules, 2009 and has made a declaration in this regard to the reporting Limited Liability Partnership.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<p><a href=\"https:\/\/carajput.com\/archives\/sebi-circular-llp-significant-beneficial-owners-rules-2023.pdf\"><span style=\"color: #000080;\"><strong>Complete SEBI Circular on LLP (SIGNIFICANT BENEFICIAL OWNERS) RULES, 2023:\u00a0<\/strong><\/span><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>LIMITED LIABILITY PARTNERSHIP (SIGNIFICANT BENEFICIAL OWNERS) RULES, 2023\u00a0 Ministry of Corporate Affairs issued a Notification vide notification no. G.S.R. 832(E) regarding Limited Liability Partnership (Significant Beneficial Owners) Rules, 2023 on 9th Nov 2023, requiring Limited Liability Partnership to identify &amp; Report details of Significant Beneficial Owner to Ministry of Corporate Affairs. A.\u00a0\u00a0\u00a0 LIMITED LIABILITY PARTNERSHIP &hellip;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mi_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[830],"tags":[978],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/posts\/6446"}],"collection":[{"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/comments?post=6446"}],"version-history":[{"count":3,"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/posts\/6446\/revisions"}],"predecessor-version":[{"id":6474,"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/posts\/6446\/revisions\/6474"}],"wp:attachment":[{"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/media?parent=6446"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/categories?post=6446"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.caindelhiindia.com\/blog\/wp-json\/wp\/v2\/tags?post=6446"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}