Every Limited Liability Partnership (LLP) (LLP) should file periodically compliance for llp and avoid a heavy penalty under law for being non-compliant. A Limited Liability Partnership (LLP) has only less compliance to follow as compared to other types of company registration like Private Limited, One Person Company etc. However, the penalty seems to be much more in Limited Liability Partnership (LLP) than other business forms.  Being non-compliant may cost you a fine of around 1 lakh in a private limited while in Limited Liability Partnership (LLP), it can go up to 5 lakhs.

LLP Annual Filing

Limited Liability Partnership (LLP)s are separate legal entities; hence it is the responsibility of the elected partners to maintain a proper book of accounts, filing the Annual returns with MCA annually and pay taxes on time. Limited Liability Partnership (LLP)s are not required to audit their books of account except where their annual turnover is more than INR 40 lakhs or if the contribution is more than INR 25 lakh. Hence, an LLP is not required to get their books of account audited if it fulfills the above-mentioned condition, making the process of annual filing simpler.

Filing Annual Return:

Annual Returns are to be filed in the prescribed Form-11. This form is considered as the summary of management affairs of LLP, like numbers of partners along with their names. Moreover, the Annual Return has to be filed by 30th May every year, apart from the annual returns LLPs are required to file Statement OF Accounts and Statement Of Solvency by 30th Oct every Year.