Partnership Firm Registration Online — Deed, PAN and Registrar of Firms at ₹4,999 + Govt. Fee
What a partnership firm is, and when to choose it
A partnership firm is two or more persons carrying on business together under the Indian Partnership Act, 1932, sharing profits in the ratio written in a partnership deed. It is the simplest multi-owner structure in India: no MCA filing, no annual return, no audit below the tax thresholds, and the firm can be up and running the day the deed is signed and the PAN is applied for.
Registration with the Registrar of Firms of your state is technically optional, but an unregistered firm cannot file a suit to enforce a contract or claim a set-off (Section 69), and most banks, government departments and larger customers ask for the registration certificate. BookMyCA drafts the deed, handles stamp duty and files the registration in your state for a flat ₹4,999 professional fee.
A partnership firm fits you if you
- •Are traders, shopkeepers, contractors, small manufacturers or family members starting a business together without outside investors
- •Want the lowest set-up cost and the least paperwork among multi-owner structures
- •Are comfortable with unlimited, joint liability of partners for the firm's debts
- •May convert to an LLP or private limited company later as the business grows (both routes exist)
Requirements for partnership firm registration
| Requirement | Rule | Source |
|---|---|---|
| Partners | Minimum 2, maximum 50; individuals who are competent to contract (a minor can be admitted to benefits only) | Partnership Act 1932; Rule 10, Companies (Miscellaneous) Rules 2014 |
| Partnership deed | Written deed on stamp paper stating name, business, capital, profit-sharing ratio, duties and exit terms | Section 5 and state Stamp Acts |
| Firm name | Any name not containing Crown, Emperor, Empire, Government or words suggesting state approval; should not copy a registered trademark | Section 58(3) |
| Place of business | Principal place of business in the state where registration is sought | Section 58 |
| Registration | Form A / Form 1 with the deed, fee and affidavit to the Registrar of Firms of the state | Sections 58–59 |
| PAN and TAN | Firm PAN is mandatory for the bank account and tax; TAN if the firm deducts tax at source | Income-tax Act |
Documents required for partnership firm registration
For each partner
- •PAN card
- •Aadhaar card
- •Passport, voter ID or driving licence
- •Address proof not older than 2 months
- •Passport-size photograph
- •Mobile number and email
For the firm
- •Partnership deed on stamp paper, signed by all partners and two witnesses
- •Proof of principal place of business (utility bill, rent agreement, owner's NOC)
- •Affidavit by partners as required by the state Registrar
- •Specimen signatures of partners
Partnership firm registration process
- 1Day 1 — Consultation: business, capital, profit ratio, remuneration structure and firm name check against trademarks.
- 2Day 1–2 — Deed drafting: the partnership deed is drafted, reviewed with the partners and finalised.
- 3Day 2–3 — Execution: the deed is printed on stamp paper or e-stamped for the value your state prescribes, signed by all partners and witnesses, and notarised where the state asks for it.
- 4Day 3–7 — PAN and TAN: applications filed with the deed; PAN usually arrives within a week.
- 5Day 3 onwards — Registrar of Firms: Form A / Form 1, deed, affidavit and fee filed with the Registrar of your state; the certificate of registration follows in a few days to a few weeks depending on the state.
- 6Parallel — GST registration if needed, Udyam registration and the bank current account with the deed and PAN.
Partnership firm registration fees
| Item | Amount | Charged by |
|---|---|---|
| BookMyCA professional fee | ₹4,999 (deed, stamping guidance, Registrar filing, PAN/TAN, bank support) | BookMyCA |
| Stamp duty on the partnership deed | Fixed or capital-linked as per your state's Stamp Act; paid on stamp paper or e-stamp | State Government |
| Registrar of Firms fee | Nominal state fee for Form A / Form 1 and certified copy | State Registrar of Firms |
| Firm PAN | ₹107 (online application) | Income Tax Department via NSDL / UTIITSL |
| TAN | ₹77 | Income Tax Department |
| Notary and affidavit | At actuals, where the state requires it | Notary |
Because there is no MCA filing, a partnership firm is the cheapest multi-owner structure to start: the deed stamp duty and Registrar fee are usually a few hundred to a few thousand rupees depending on the state and capital. We give you the exact figures for your state before drafting.
What BookMyCA delivers for ₹4,999
- •CA consultation on partnership versus LLP versus company for your business
- •Custom partnership deed with section 40(b)-compliant remuneration and interest clauses
- •Stamp duty computation for your state and execution guidance
- •Registrar of Firms application (Form A / Form 1) with affidavit, filed and tracked
- •Firm PAN and TAN
- •GST registration if required, Udyam (MSME) registration and bank account support
- •Tax calendar: advance tax, TDS, ITR-5 for the firm and partners' returns
Compliance and taxation of a partnership firm
| Item | Rule | Notes |
|---|---|---|
| Income-tax rate | 30% flat plus surcharge and 4% cess on the firm's profit | Partners' share of profit is exempt under section 10(2A) |
| Partner remuneration and interest | Deductible within section 40(b): interest up to 12% p.a.; remuneration up to ₹3 lakh or 90% of the first ₹6 lakh of book profit, then 60% | Only if authorised by the deed |
| Tax audit | Turnover above ₹1 crore (₹10 crore if 95% receipts and payments are digital) | Section 44AB; presumptive 44AD available |
| Income-tax return | ITR-5 by 31 July, or 31 October if audited | Partners file ITR-3 |
| GST returns | Monthly or quarterly if registered | Threshold ₹40 lakh goods / ₹20 lakh services in most states |
| Changes in the firm | Admission, retirement, change of name or address to be intimated to the Registrar of Firms | Sections 60–63 |
Mistakes to avoid
- •Running on an unstamped or under-stamped deed — it is inadmissible in court until the penalty duty is paid
- •Leaving remuneration and interest out of the deed and losing the section 40(b) deduction
- •Skipping Registrar of Firms registration and discovering it when you need to sue a defaulting customer
- •Not changing the deed when a partner joins or leaves; the old ratio keeps applying for tax
- •Using a firm name that is someone's registered trademark
Frequently asked questions on partnership firm registration
No, but an unregistered firm cannot sue a third party or a partner to enforce a right arising from a contract (Section 69). Banks and government departments also ask for the registration certificate, so we recommend registering.
BookMyCA charges ₹4,999 for the deed, Registrar filing, PAN, TAN and bank support. Government charges are stamp duty on the deed and the Registrar of Firms fee, both set by your state, plus ₹107 for PAN and ₹77 for TAN.
The deed and PAN are done in 3–7 working days. The Registrar of Firms certificate depends on the state: some issue it within a week, others take several weeks.
Minimum two and maximum fifty.
At a flat 30% plus surcharge and cess on its profit after deducting partners' remuneration and interest allowed by section 40(b). The partners' share of the remaining profit is tax-free in their hands.
Yes to both. Registered partnership firms are eligible entities under the DPIIT startup notification, and Udyam registration is free on the government portal.
A firm is cheaper and faster to start but partners have unlimited liability. An LLP costs slightly more, needs MCA filings every year, and protects partners' personal assets. Most growing service businesses move to an LLP.
Yes. A registered firm can convert to an LLP (Section 55, LLP Act) or to a company (Chapter XXI, Companies Act 2013) with assets and liabilities carried over.