Have you filed LLP Form 8 regarding ‘Statement of Account and Solvency’ for the financial year 2017-18 yet? Every LLP (Limited Liability Partnership) registered in India needs to prepare a ‘Statement of Account and Solvency’ within a period of six months from the end of each financial year. Such a statement shall be filed with the Registrar of Companies (ROC) within a period of 30 days from the end of six months of the financial year to which the statement relates, i.e, by 30th October. Well, hurry up and file it with ROC before you miss the window of the last date!

For easy understanding, please see below example:

If ABC Services LLP, incorporated on 01/04/2017 (FY 2017-18) has capital contribution of INR 1 Lakh, it will have to incur following filing fees on given dates:

1. Filed on 30/10/2018: INR 50
2. Filed on 30/11/2018: INR 50 + INR 3,000 (Additional Fee for Delay of 30 Days)
3. Filed on 31/03/2019: INR 50 + INR 15,200 (Additional Fee for Delay of 152 Days)
   
   

Accordingly, the penalties will keep on increasing till the date of actual filing of return.

Frequently asked questions on LLP Form 8

1.      What is LLP Form 8?

LLP Form 8 is an Annual Filing Form, to be filed with ROC every year. It is Statement of Accounts and Solvency. This form contains a declaration on the state of solvency of the LLP by the designated partners and also information related to statement of assets and liabilities and statement of income and expenditure of the LLP. This form has to be filed by the LLP on an annual basis.

2. What are the requirements for filing the Statement of Accounts and Solvency and what shall be the Form 8 Attachment?

a) Requirement

Digital Signature of both Designated Partners and knowledge of basic details of the LLP.

If the turnover of LLP exceeds INR 40 lakhs or partner’s contribution exceeds INR 25 lakh, then certification by the auditor of the LLP/ FLLP will be mandatory.

b) Attachment

Copy of Balance Sheet and Profit & Loss Account of the LLP, Disclosure under MSME, 2006 and Statement of Contingent Liabilities not provided for, if any.

 3.      What is Form 8 Due date for filing?

For the financial year ending 31st March 2018; LLP Form 8 due date is 30th October 2018.

4.      Who are exempt from Filing Form 8 LLP?

LLPs incorporated on or after 1st October 2017 are exempted from filing Form 8 for the financial year ended 31st March 2018. However, they may voluntarily file Form 8.

5. Who should file LLP Form 8?

Every LLP existing or incorporated on or before 30th September 2017 shall have to file Form 8 before 30th October 2018.

6. What are the LLP Form 8 Fees?

Filing fees for Form 8 depends on upon the Capital Contribution structure of the LLP. 

7. Can Form 8 of LLP be revised once it has been filed?

No. There is no such option to revise Form 8 once filed. Hence, utmost care must be taken while filing Form 8.

8. What shall be the penalty for non-filing of Annual Return or LLP Form 8?

If LLP fails to file Form 8 within the prescribed time, it is liable to pay fine of  INR 25,000 which may be extended to INR 5,00,000. Delayed filing will also lead to severe additional fees.

9. Are there any other compliances to be done for LLP?

Every LLP is required to file an Annual Return within 60 days from end of financial year containing details in respect of the number of Partners, Designated Partners and amount of contribution received from Partners as on 31st March every year.

Further, if the turnover of LLP exceeds INR 40 lakhs or Partner’s contribution exceeds INR 25 lakh, the LLP is required to have its accounts audited by a practicing Chartered Accountant. 

File the LLP Form 8 today (if not done already) to avoid facing consequences of heavy penalties.

To explore business opportunities, link with me by clicking on the 'Invite' button on my eBiz Card.

Disclaimer: The views and opinions expressed in this article are those of the author and do not necessarily reflect the views, official policy or position of GlobalLinker.