What is Form 8 LLP?

Form 8 LLP or Statement of Account and Solvency is a filing that is necessary to be filed each and every year by all limited liability partnerships (LLPs) registered in India. This form has a declaration on the state of solvency of the LLP by the nominated partners and also information related to statement of assets and liabilities & statement of income and expenditure. It is to be filled with ROC every year.

Form 8 LLP Due Date

LLP annual filing due date

The due date for filing Form 8 LLP (LLP form 8 due date) is 30^th October of each financial year. If you fail to file LLP Form 8, this will incur a penalty of Rs. 100 per day. Furthermore, you need to file Form 11 with Form 8 before 30th May of each financial year.

LLP Compliance

Compliance for LLP

All LLP registered in India must file the below-mentioned form each year, regardless of business turnover or profits.

you  may also link - GLOWROAD SELLER REGISTRATION

ITR for LLP

A Limited Liability Partnership needs to file Form ITR 5 for its return of income.

Statement of Accounts and Solvency

Form 8 is also called a Statement of Account & Solvency. All registered LLPs are required to have their books of accounts in place and fill out details with respect to the profit made, and financial data in respect of the business, and submit all details in Form 8 each and every year. In addition to these details the Limited Liability Partnership must also declare:

1. That the turnover is below or above Rs. 40 lakhs.

2. It must declare that the LLP earlier filed the statement revealing the creation of charges and modification or satisfaction till the current financial year.

3. LLP must declare that the partner or authorized representative has properly maintained and prepared adequate accounting records.

LLP AnnuContenal filing .

LLP Annual return are needed to be filed in the recommended Form-11. Form 8 is examined as the summary of administration matters of LLP filing, like numbers of partners along with their names. In addition, this form has to be filed by 30^th May every year.

Audit requirement for LLP under the Income-tax Act

LLP whose turnover is more than Rs. 40 lakhs or whose partner’s obligation contribution exceeds Rs. 25 lakhs have to get audited their books of accounts by Chartered Accountants under the Limited Liability Partnership Act, 2008. The due date to file the tax return for an LLP that is needed to get his books audited is September 30^th.

Point to remember

The threshold limit of tax audit is increased from Rs.1 crore to Rs.5 crore with effect from the financial year 2020-21 if the cash receipts of taxpayers are limited to 5% of the gross receipts or turnover, and cash payments of taxpayers are limited to 5% of the aggregate payments under the Income Tax Act, 1961.

Attachments

The following documents must be affixed with Form 8:

1. Disclosure under Micro, Small and Medium Enterprises, Development Act, 2006.
2. If in case a contingent liability exists, a Statement of contingent liabilities is to be affixed.
3. If there is any other information, it can be provided as an optional attachment.

Some other compliance to be done for LLP

Form 8 should be digitally signed by a minimum of two Designated Partners of LLP or authorized representatives of foreign LLP. In addition, if the turnover exceeds Rs. 40 lakhs or Partner’s obligation of contribution exceeds Rs. 25 lakhs, then, in this case, form 8 should be certified by the auditor of the LLP/FLLP.  

Penalty for non filing of Annual Return

Consequences of non-compliance of Form-8

If the Limited Liability Partnership fails to file Form 8 LLP within the prescribed time then they are responsible to pay a fine of Rs. 25000 which may be increased to Rs. 500000. If LLP does delay in filing annual returns it will lead to serious additional fees and penalties.

Consequences of non-compliance of Form-11

If LLP fails to file Form-11 by the 31^st of May, a penalty of Rs. 100 per day will be imposed till the delayed period. And this amount can be increased over time.

Consequences of non-compliance of ITR-5

If LLP fails to File ITR-5 on time, section 234F will be applicable to you and you are liable to pay a maximum penalty of Rs. 10000.

So summing up with Tax Advisory, if you want to avoid income tax notice and to avoid penalties, you need to file your ITR on time. For filing your ITR, you need expert assistance, and for your help, the team of Tax Advisory is here for you. Tax Advisory is India’s leading legal service provider with experts like CA’s, CS’s, and lawyers. For any query or assistance, you can contact us on 9193555055 and visit www.taxadvisory.in."