Limited Partnership - Definition

Limited Partnership (LP) is a special partnership type with limited legal liabilities. General partners are personally liable. Limited partners are liable for their business investment. Management and control is exercised through general partners. Limited partners do not have any formal control. LPs are easy to set up and maintain. LP partners are taxed on profits personally, on ownership percentages and can claim on personal taxes. 

For more information on Limited Partnership (LP), please contact the Corporation's Division at (202) 442-4400; option #5, 1100 4th Street, SW, 2nd Floor, Washington, DC 20024.

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