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🔍 Annual Compliance of Limited Liability Partnership (LLP)
For a Limited Liability Partnership (LLP), timely filing of returns is crucial to maintain compliance and avoid hefty penalties. Compared to private limited companies, LLPs have a relatively lighter annual compliance burden. However, penalties for non-compliance can be significant — LLPs may face fines up to ₹5 lakh, while private limited companies face penalties around ₹1 lakh.
At India Fills, we understand the importance of staying compliant with LLP annual filing requirements. Our expert services ensure your LLP meets all obligations efficiently and without delay.
Start today to secure your LLP’s compliance and avoid penalties.
📋 Limited Liability Partnerships (LLPs) Compliance Requirements
LLPs are recognized as separate legal entities and must adhere to specific compliance obligations. The Designated Partners are responsible for ensuring these compliances are met. Key LLP compliance requirements include:
- Maintenance of Proper Books of Accounts
- Filing of Annual Return (Form 11)
- Filing of Statement of Accounts (Form 8)
- Filing of Income Tax Return (ITR-5)
- Tax Audit (if applicable)
Adhering to these requirements upholds the LLP’s legal status and fosters transparency, credibility, and financial accountability.
📚 Maintenance of Proper Books of Accounts
Maintaining accurate and up-to-date financial records is essential. These should detail all financial transactions, profits, expenses, assets, and liabilities. Proper bookkeeping helps assess the LLP’s financial health and performance effectively.
📝 Filing of Annual Return – LLP Form 11
Every LLP must file an Annual Return with the Ministry of Corporate Affairs (MCA) using Form 11. This form contains:
- Total number of designated partners
- Partner details
- Contributions received
- Summary of all partners
Deadline: Form 11 must be filed within 60 days after the financial year ends, i.e., by May 30th annually.
Importance of Timely Filing
Failure to file Form 11 delays LLP closure or winding up.
Penalty for Late Filing
A penalty of ₹100 per day applies for late submission, starting from the due date until actual filing.
📊 Filing of Statement of Accounts – LLP Form 8
LLPs must submit a Statement of Accounts & Solvency annually through Form 8. This form reflects the LLP’s financial position, assets, and liabilities.
Deadline: Form 8 must be filed within 30 days after six months from the financial year-end, i.e., by October 30th.
Signing & Certification
- Must be digitally signed by two designated partners
- Certified by a Company Secretary, Chartered Accountant, or Cost Accountant
Components of Form 8
- Part A: Solvency Statement (financial health)
- Part B: Income & Expenditure and Statement of Accounts
Penalty for Late Filing
A penalty of ₹100 per day applies until the form is filed.
📑 Audit and Tax Filing Requirements for LLPs
LLPs must comply with audit and tax obligations under the LLP Act, 2008, and Income Tax Act, 1961.
Tax Audit
- Mandatory if turnover exceeds ₹40 lakhs or contributions exceed ₹25 lakhs
- Tax audit deadline: September 30th
Note: From AY 2021-22 onwards, threshold increased to ₹5 crore under specific conditions related to cash transactions.
Tax Filing Deadline (Without Audit)
- July 31st for LLPs not requiring tax audit
International Transactions – Form 3CEB
- LLPs with international transactions or specified domestic transactions must file Form 3CEB
- Certified by a practicing Chartered Accountant
- Due by November 30th
📅 Income Tax Return Filing – Form ITR-5
LLPs must file ITR-5 for their income tax return.
- Due date: July 31st (or September 30th if tax audit is applicable)
- Details income, expenses, and tax liability
📆 LLP Annual Filing Compliance Calendar
Form Type | Description | Due Date | Filed With |
Form 8 | Statement of Accounts | 30th October | Registrar of Companies |
Form 11 | Annual Return | 30th May | Registrar of Companies |
ITR-5 | Income Tax Return | 31st July / 30th Sept (if audit) | Income Tax Department |
Audit | Tax Audit (if applicable) | 30th September | Income Tax Department |
🌟 Benefits of LLP Annual Compliance
- Higher Credibility: Compliance boosts your LLP’s reputation for loans, investors, and partners
- Financial Record: Builds a transparent financial history attracting stakeholders
- Avoid Penalties: Keeps LLP active and free from fines or penalties
- Smooth Conversion/Closure: Easier business restructuring or dissolution with up-to-date filings
🚀 Why Choose India Fills for LLP Compliance?
India Fills simplifies your LLP annual filings by providing:
- Expert guidance on all forms and compliance requirements
- Accurate preparation and digital signature facilitation
- Coordination with qualified professionals for certification
- Timely filing to avoid penalties
- A hassle-free process so you can focus on growing your business
Let India Fills handle your LLP compliance with ease and efficiency.
Get started now to streamline your LLP annual filings!
