A general partner in a limited partnership has all the rights and powers and is subject to all the restrictions and liabilities of a partner in a partnership without limited partners except that, without the written consent to or ratification of the specific act by all the limited partners, a general partner has no authority to,
(a) do any act in contravention of the partnership agreement;
(b) do any act which makes it impossible to carry on the ordinary business of the limited partnership;
(c) consent to a judgment against the limited partnership;
(d) possess limited partnership property, or assign any rights in specific partnership property, for other than a partnership purpose;
(e) admit a person as a general partner;
(f) admit a person as a limited partner, unless the right to do so is given in the partnership agreement; or
(g) continue the business of the limited partnership if a general partner dies, retires or becomes incapable
Benefits of Ontario Limited Partnerships
An LP is not considered a separate taxable entity under the Income Tax Act (Canada). Therefore, it is not required to pay income taxes or file a corporate income tax return. Instead, all profits received by an LP are passed through the LP. Profits and losses are then allocated among the partners of the LP at the end of the fiscal year, in accordance with the terms of the LP agreement governing the LP’s business and affairs.
Partners who are Canadian residents are required to include their part of the profit received through the LP in their personal/corporate tax returns. Partners who are not Canadian residents are not subject to withholding tax on the profits they receive from the LP.
LPs have no audit requirements.
Ontario Limited Partnership Registration Service in 24 Hours
e-Companies Canada offer fast & easy Canada online limited partnership registration service in Ontario Canada. At e-Companies.ca we help you step-by-step and take care of the entire Limited Partnership registration process from start to finish. Registering a new limited partnership with us is fast, easy and takes just minutes.
https://e-companies.ca/Ontario-limited-partnership-registration.html
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