Jan 23, 2024

LLPs to Identify Significant Beneficial Owner(s) and Make Necessary Filing with MCA

The MCA, by way of a Notification dated November 9, 2023, notified the Limited Liability (Significant Beneficial Ownership) Rules, 2023 (‘SBO Rules’) inter alia mandating every LLP to identify the ‘Significant Beneficial Owner’ (‘SBO’) (as defined in the SBO Rules) in relation to such LLP, and make filing in Form LLP BEN-2 with the MCA, to this effect. The SBO Rules also cast an obligation on each existing SBO of an LLP to declare to such LLP in Form LLP BEN-1 that it is an SBO, within 90 days from November 9, 2023, and upon receiving such declaration, such LLP needs to make a declaration to this effect, with the MCA, in Form LLP BEN-2. An individual who subsequently becomes an SBO is required to file the declaration within 30 days of acquiring such significant beneficial ownership. LLPs are now also required to maintain a register of SBOs in Form LLP BEN-3.




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