ANNUAL COMPLIANCE FOR LLP

Annual Compliance for LLP

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A Limited Liability Partnership is a separate legal entity. In order to preserve active status and to avoid default status. A regular filing with MCA is required to be taken care by all Limited Liability partnerships. Annual Compliance for any LLP is obligatory and unavoidable. Annual Compliance for LLP needs filing of two forms.

• Annual Returns

• Statement of Accounts or financial statements


Filing LLP Annual Return

Annual return declares briefly in statements by reporting any change in activities and in management of the corporate for every financial year in coming years. Each LLP needed to file the Annual Return also known as Form 11 to the registrar within a span of 60 days after closing the books of accounts of the reputed organisation.


Filing Statements of Accounts

The Double Entry System is followed by all the LLP’s to maintain their Books of Accounts. In preparation of Statement of Accounts each year as on 31st March, LLP Form 8 is required to be deposited with the ROC on or before 30th October annually. Moreover, LLP’s whose yearly turnover exceeds Rs.40 lakh are required to get their financial accounts examined by an accomplished Chartered Accountant compulsorily.

What is Annual Compliances for LLP?

Limited Liability Partnerships (LLP) are rising as far back as the presentation of the Companies Act, 2013 as it is a type of business substance, which enables individual partners to be liberated from the idea of joint liability of partners accomplices in an Patnership firm. Presently, as the Government is expanding the compliances and exposures for a Company type of structure, the greater part of the individuals are picking LLP type of business because of its basic and less perplexing compliances. Be that as it may, one must be cautious and genius dynamic about the compliances of LLP as a large portion of its Form includes every day punishment.Contact us to know more about our accounting and bookkeeping services in bangalore.

Documents Required for Filling Annual Compliances of LLP

1. PAN Card of the LLP
2. Certificate of Incorporation of the LLP
3. LLP Agreement along with supplements, if any
4. Financial statements of the LLP, self-attested by the designated partners
5. DSC of all Designated Partners

Benefits of Annual Compliance

Convertibility and Settlement

Annual filing is very crucial for conversion of LLP into any other corporation. The records of annual compliance filed each year simplifies the process of conversion as well as the closure of organisation. Generally, the Registrar interrogates the fulfillment of Annual compliance with additional LLP fee before the conversion and settlement of the company.

Notify Creditworthiness

While entering into contracts, companies can approach the forms filled by the LLP to introspect the financial worth of the company. The record of financial statements forms a picture of net worth in the minds of interested parties before entering into a contract.

Reliability

The Ministry of Corporate Affairs declares the status of Annual compliance for LLP on it’s official portal. The ethics and moral of the company are dependent on the annual compliances.

Regular filing avoids penalties

With an intention to avoid heavy penalties and fees, regular filing of forms protects partners to be declared as defaulters. It also avoids further disqualification of contracts. Hence, LLP needs to fulfill the Annual Compliance requirements. The non-fulfillment of LLP Annual Compliance adds up in the form of heavy penalties till the actual date of filing.

Process of LLP Compliances

Day 1:

1. Collection
2. Discussion and collection of basic Information
3. Provide Required Documents
4. Decide the due dates of filing

Day 2 - 3:

1. Preparation
2. Drafting necessary documents

Day 4:

1. Onwards - Filing
2. Filing of Annual Return (Form 11)
3. Filing of Statement of Accounts & Solvency (Form 8)

LLP Annual Filing Due Date

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