Form 8 LLP, Due Date, Penalty, and Filling Procedure at MCA

Form 8 LLP is a mandatory requirement for Limited Liability Partnership to prepare and close its accounts before March 31st every year. The LLP must maintain books of Accounts in the Double Entry System. LLP should also prepare a Statement of Accounts every year-end, i.e., March 31st. Every year before October 30th, from 8, is to be filed.

What is LLP form 8?

Form 8 LLP is an annual filing, and Statements of Accounts and Solvency are to be filed with the ROC every year. The contents of this form include the following:

• A declaration defining the state of solvency of the LLP by the designated partners.
• Information related to the statement of assets and liabilities.
• A statement of income and expenditure of the LLP. 

Due date of form 8 LLP

October 30th of each financial year is the due date for filing the form 8 LLP. In failure, a penalty of Rs. 100 per day will be incurred. Along with Form 8, the LLPs must also file Form 11. It should be filed before May 30th of each financial year.

LLP compliances list

LLPs registered under the Ministry of Corporate Affairs (MCA) should file the below-mentioned mandatory compliance requirements.

• Annual Returns – Every LLP must file an Annual Return (FORM-11) with the Registrar of LLP as per Section 35 of the Act. It should be registered within 60 days from the closure of the financial year.
• Statement of Account & Solvency – The LLP must file the statements of Accounts and Solvency within 30 days after the expiry of 6 months from the closure of its accounting period.
• Income Tax Returns – The filing of Income Tax Returns depends on the audit status of the LLP. In the case of unaudited accounts, the income tax return can be filed by September 30th. Otherwise, it can be filed till the 31st of the other month.

Penalty for non-filing of form 8 LLP

In case of non-filing of due returns, penalties and prosecution under the LLP Act will be imposed. LLP’s failure to file Form 8 will attract a penalty of Rs 100 per day from the due date of filing till the actual date of filing Form 8 LLP. 

Account and solvency statement

Statement of Account & Solvency is also known as MCA Form 8. The LLP should furnish information on the financial transactions within the fiscal year and the position to finish the financial year. The following should be mentioned:

• Present that the turnover exceeds or is less than Rs 40 lakhs. 
• Show that the LLP has previously furnished a statement showing the creation of charges, modification, or satisfaction until the current fiscal year.
• The partners or authorized representatives are interested in effective handling and responsibility to keep enough accounting records and preparation of accounts.

Attachments with LLP form 8

• Mandatory: Attachment of Disclosure under Micro, Small and Medium Enterprises Development Act (2006).
• A statement of contingent liabilities should be attached to the emergency liabilities. 
• Additional details could be given as an optional attachment.

Charted account and partner signature

Minimum two Designated Partners of LLP or Foreign LLP’s Authorized Representatives must digitally sign Form 8. Form 8 LLP needs to be certified by the auditor of the LLP/ FLLP in case the turnover of the LLP is over Rs 40 lakhs or the partners’ responsibility for the contribution is more than Rs 25 lakh. Otherwise, it requires a digital signature of a minimum of two Designated Partners.

Conclusion

Managing a business is herculean, whether a Person Company, LLP, or Private Limited Company. Business involves time, money, and effort and requires a thorough knowledge of regulatory or financial formalities. Filing forms and returns are mandatory. The company has to face dire consequences in case of failure to file the documents with the Registrar.