Draft Format of Partnership Dissolution Deed

This Deed of Dissolution of Partnership is made and executed on this ___ day of [Month, Year], at [City, State], by and among:

Partners:

• [Partner 1 Name], S/o [Father’s Name], residing at [Full Address], PAN: [PAN Number]
• [Partner 2 Name], S/o [Father’s Name], residing at [Full Address], PAN: [PAN Number]
• (Add more partners as applicable)

(Hereinafter collectively referred to as the “Partners”)

WHEREAS:

1. The Partners were carrying on the business in partnership under the name and style of M/s [Firm Name], having its registered office at [Full Address], in accordance with a Partnership Deed executed on [Original Date of Partnership Deed], and any amendments made thereto.
2. The Partners have mutually agreed to dissolve the said firm with effect from [Effective Date of Dissolution], in accordance with Clause ___ and ____ of the Partnership Deed and as per mutual consent.

NOW THIS DEED WITNESSETH AS FOLLOWS:

1. Dissolution
   The partnership business carried on under the name and style of M/s [Firm Name] stands dissolved as of [Effective Date]. The firm shall cease all business operations except those necessary for winding up.
2. Final Settlement and Accounts
   The accounts of the partnership firm have been drawn and settled among the partners. All liabilities have been discharged or adequately provided for, and the remaining assets of the firm have been distributed among the partners in proportion to their capital contributions/profit-sharing ratios as agreed.
3. Distribution of Assets and Liabilities
   All remaining assets, liabilities, receivables, payables, bank balances, and any other items are distributed as follows:
   • Partner 1: [Details of what Partner 1 receives]
   • Partner 2: [Details of what Partner 2 receives]
   • (Continue as necessary)
4. Bank Account Closure
   The firm’s bank account(s) maintained with [Bank Name] shall be closed and any balance standing therein shall be distributed among the partners as per agreed terms.
5. No Claims Outstanding
   Each partner hereby declares that they have no outstanding claim of any nature whatsoever against each other or against the firm and that all mutual obligations are deemed satisfied in full.
6. Indemnity
   Each partner agrees to indemnify and keep indemnified the other partners against any liabilities, debts, or obligations arising after the date of dissolution due to any act committed by them without prior knowledge and written consent of the other partner(s).
7. Authority to Wind Up
   [Partner Name] is hereby authorized to take all necessary steps to:
   • File dissolution with the Registrar of Firms (if applicable)
   • Cancel any business registrations (GST, PAN, etc.)
   • Notify the Income Tax Department and any regulatory authorities
   • Complete formalities required for closure
8. Entire Agreement
   This Deed constitutes the complete understanding of the parties and supersedes all previous oral or written understandings in relation to the dissolution of the partnership.
9. Jurisdiction
   This Deed shall be governed by and construed in accordance with the laws of India and any dispute arising shall be subject to the jurisdiction of courts in [City/State].

IN WITNESS WHEREOF, the parties hereunto have set their hands to this Deed of Dissolution on the day, month, and year first above written.

SIGNED & DELIVERED BY:

• (Partner 1)
  Name: [Name]
  Signature: [Signature]
  PAN: [PAN]
  Address: [Address]
• (Partner 2)
  Name: [Name]
  Signature: [Signature]
  PAN: [PAN]
  Address: [Address]
• (Add more partners as required)

WITNESSES:

1. Signature: [Signature]
   Name: [Name]
   Address: [Address]

Post-Dissolution Checklist:

• Close bank accounts.
• File form with Registrar of Firms (if registered).
• Cancel GST and other tax registrations.
• Inform customers/suppliers/stakeholders.
• Retain accounting and tax records for audit/legal purposes.