LLP Compliance Calendar

LLP needs to comply with the Annual filings as laid under the law with Ministry of Corporate Affairs (MCA) every year. The annual returns (Form 11) need to be filed within sixty days from the end of the fiscal year i.e., May 30^th and Statement of account and solvency within thirty days from end of half year (six months) at the end of financial year i.e., October 30^th.

The below table depicts the same in tabular form:

Books of Accounts

LLPs are required to maintain proper books of accounts on cash or accrual basis, at the registered office of the LLP encompassing the below stated information:

1. Assets and Liabilities
2. Money contributions made and received
3. Statement of Cost of Goods Sold
4. Inventories and finished stocks statement.

A compliance manager or advisor should help to prepare the financial statements for the LLP at the end of each financial year.

Tax Audit

LLPs are required to get the books of accounts audited by a Chartered Accountant (CA) in practice, when the annual turnover exceeds INR 40 Lakhs or the contribution within the LLP exceeds INR 25 Lakhs. The above condition makes the annual filing of LLP elementary and smooth.

LLPs can avail for the tax audit exemption where the partners submit a statement acknowledging and taking responsibilities to comply with all the requirement to have the accounts and financials in place.

Form 8

LLPs are required to file Form 8 every year irrespective of any turnover which relates to the preparation of the accounting and financial statements. Failure to comply with the filing could lead to fine of INR 100 per day of delay.

Form 11

LLPs are required to file Form 11 which is summary of management affairs with the partners information and contributions respectively. The information must match with the declaration as stated in Form 8. The non-filing would impose INR 100 fine per day of delay and has no cap on limit.

The DSC of the partner would suffice filing the e-form, when the total partners contribution does not exceed INR 50 lakhs and turnover does not exceed INR 5 crores, otherwise Practicing Company Secretary (PCS) should certify the e-form.

Income Tax return and rates

LLPs are required to compulsorily file the income tax return every financial year (ITR-5). The income tax rate for an LLP is 30% as applicable, and additionally surcharge is levied at 12% on taxable amount when total income exceeds INR 1crore. 

Furthermore, Health and Education cess at 4% as applicable. LLP is liable to pay Alternate Minimum Tax including Surcharge and Health and Education cess, at 18.5% of book profit, in cases where normal tax liability is lower than 18.5% of book profit. International transaction required filing of Form 3CEB duly certified a Chartered Accountant (CA).