You may now have a number of questions, such as what Form 8 is for LLP and whether there is a late charge or penalty for filing Form 8 LLP. Regardless of an LLP’s income, Form 8 is a statement of account and solvency that is important to all LLPs. By using this form, an LLP officially says that it is in a sound enough financial situation to be able to meet its bills and responsibilities. This form also includes certain other important information from the LLP’s financial statement. Within 30 days following the end of the first half of the financial year, LLPs must provide these facts through Form 8. Therefore, it is necessary to send LLP Form 8 by October 30 of the fiscal year.
The following are some salient features of the LLP Form 8
- LLP Annual Filing: LLPs must file LLP Form 8 each year. The limit for finishing this file is 30 days from the end of the relevant financial year’s first half. Otherwise, the yearly filing date is usually October 30.
- Contents: The balance sheet, the profit and loss statement, and the statement of changes in financial situation are among the financial data included in the Statement of Account & Solvency. Additionally, it states the LLP’s stability.
- Solvency statement: The solvency statement is an important component of this application. It attests to the LLP’s ability to pay its debts in the normal course of business by the due date and should show any bankruptcy that may exist.
- Statutory Compliance: LLPs are needed to file LLP Form 8, and failure to do so may result in fines. Adherence to the LLP Act and its rules is important.
- Audit: Depending on the LLP’s turnover and other factors, an audit of the financial records listed in the Statement of Account & Solvency may be necessary. Audited financials offer an extra amount of confidence in the accuracy of the financial data.
Date of Form 8 LLP Filing Due
The date for filing Form 8 LLP is October 30 of each fiscal year. Failure to file Form 8 may result in a late charge or penalty of Rs. 100 per day.
Who needs to Authorise Form 8?
Form 8 is a form, so if the LLP’s total income is less than or equal to Rs 40 lakh, or if the partner’s payment requirement is less than or equal to Rs 25 lakh, then at least two Designated Partners of LLP or Authorised Representatives of Foreign LLP must digitally sign it. If the LLP’s general revenue is above Rs. 40 lakh or if a partner’s payment requirement surpasses Rs. 25 lakh, the LLP/FLLP inspector must confirm Form 8.
Details Required for LLP Form 8 Filing
- Name and Address of the LLP
- Limited Liability Partnership Identification Number
- Jurisdiction of Police Station for the registered home of the LLP
- Whether any charge is changed in favour of an ARC or assignee
- Whether the income crosses Rs 40 lakhs of the LLP
- Whether the responsibility of contribution crosses Rs 25 lakhs
- Statement of Assets and Liabilities as of 31st March
- Statement of Income and Expenditure for the financial year
What are the LLP Form 8 Attachments?
Form 8 must have the following papers attached:
- Disclosure is a necessary addition under the Micro, Small and Medium Enterprises (MSME) Development Act of 2006.
- If there are any possible responsibilities, a description of such duties must be attached.
- Any more relevant details may be included if requested.
Filing Fees For LLP Form 8
Turnover of LLP: Filing Fee
- Upto INR 1 lakh: Rs 50
- INR 1 lakh to INR 5 lakh: Rs 100
- INR 5 lakh to INR 10 lakh: Rs 150
- INR 10 lakh to INR 25 lakh: Rs 200
- INR 25 lakh to INR 1 Crore: Rs 400
- More than 1 Crore: Rs 600
Procedure for LLP Form 8 Filing
The process of filing Form 8 must be finished correctly and promptly:
- Gather the Necessary Data: Before sending, make sure you have gotten all relevant data, such as the LLP’s financial records, information about its stability, and any other forms or reports that may be needed.
- Get the Form Ready: Complete LLP Form 8 Part A and Part B with correct details. If handling the financial details takes knowledge due to their complexity, make use of professional accounting services.
- Submit Online: To file Form 8 online, use the MCA webpage. Selected partners must sign digital seals to confirm the entry.
- Pay the Due Fees: Base the filing fee on the total amount of payments that each LLP partner is expected to make. According to the LLP yearly return filing services, there are higher fees if the form is filed after the deadline.
Importance for Form 8 in LLPs
- An LLP’s financial situation, including its assets, liabilities, and cash status, is clearly portrayed in its Form 8, which is more than simply a formal necessity.
- This form ensures that all parties involved—creditors, partners, and governmental agencies, among others—have up-to-date and correct financial data, which is important for making choices and keeping operating openness.
- Regardless of their size or income, all LLPs formed in India are expected to file the Statement of Account & Solvency.
- This rule supports the idea of openness and responsibility within the business setting, encouraging trust and security in the economic system.
Conclusion
One of the most important yearly compliances that any LLP has to complete is the return of Form-8. On top of helping you avoid fines and late filing costs, prompt entry of your Form 8 ensures that you keep compliance with your responsibilities. The late filing charge for LLP Form 8 will depend on how long it takes to file the form. The key to avoiding any kind of extra financial strain is the quick filing of Form 8. To avoid getting extra late filing fines and to ensure that your LLP Form 8 is properly filed by the deadline, get help from a reputable compliance support source!
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