Who can be a partner in a Limited Liability Partnership?

An individual
A body corporate
A HUF
Both A and B

The correct answer is D. Both A and B.

A limited liability partnership (LLP) is a business structure that combines the limited liability of a corporation with the flexibility and tax advantages of a partnership. LLPs are governed by state law, and the requirements for forming an LLP vary from state to state.

In general, to form an LLP, two or more individuals or entities must file a registration statement with the state in which they will be doing business. The registration statement must include the name of the LLP, the names of the partners, and the address of the LLP’s principal place of business.

Once an LLP is formed, it is a separate legal entity from its partners. This means that the LLP is liable for its own debts and obligations, and the partners are not personally liable for the debts and obligations of the LLP.

However, partners in an LLP are still liable for their own actions and for the actions of other partners that they have authorized. For example, if a partner commits fraud, the other partners may be liable for the damages caused by the fraud.

LLPs are a popular business structure for small businesses and professionals. They offer the limited liability of a corporation with the flexibility and tax advantages of a partnership.

Option A: An individual can be a partner in an LLP.

Option B: A body corporate can be a partner in an LLP.

Option C: A HUF cannot be a partner in an LLP. A HUF is a Hindu Undivided Family, and it is not a legal entity. Therefore, it cannot be a partner in an LLP.