LLP Annual Compliance Filing FY 2024‑25

Form 11 must be filed by May 30, 2025, which is 60 days from the financial year-end. This deadline applies to all LLPs regardless of their revenue or activity status. It's advisable to prepare your filing well before the deadline, as penalties begin accumulating immediately after the due date passes.

The due date for Form 8 is October 30, 2025, which falls 30 days after the six-month period following the financial year closing. This form contains your financial statements and solvency declaration and requires digital signatures from both designated partners before it can be successfully submitted.

For LLPs that don't require an audit, the ITR-5 filing deadline is July 31, 2025. If your LLP needs an audit, the deadline is extended to September 30, 2025. LLPs with international transactions have until November 30, 2025, to file. Missing these deadlines results in significant penalties that increase over time.

Missing the Form 11 filing deadline subjects your LLP to additional fees calculated as multiples of the normal filing fee, with different rates for Small LLPs versus other LLPs. For delays up to 15 days, both types pay 1 time the normal fee. The penalties escalate substantially: for delays of 60-90 days, Small LLPs pay 6 times the normal fee while other LLPs pay 12 times the normal fee. The highest penalty tier applies to delays beyond 360 days, where Small LLPs pay 15 times plus ₹10 daily and other LLPs pay 30 times plus ₹20 for each additional day beyond a year. Remember that your LLP cannot be closed or struck off until all pending filings are completed.

A statutory audit becomes mandatory when your LLP's annual turnover exceeds ₹40 lakhs or when the partner contribution exceeds ₹25 lakhs. This audit must be conducted by a practising Chartered Accountant who will certify Form 8 before submission. There are no exceptions to this requirement once either threshold is crossed.

Tax audit becomes mandatory when your LLP's turnover exceeds ₹ one crore. However, if your cash receipts and payments are under 5% of total transactions, this threshold increases to ₹5 crore. Maintaining digital transactions helps qualify for this higher threshold and significantly reduces your overall compliance burden.

Yes, all designated partners must have a valid Class 3 Digital Signature Certificate to sign electronic filings. Both Form 11 and Form 8 require digital signatures to be submitted successfully. DSCs typically need renewal every 1-2 years, so it's important to check expiry dates well in advance to avoid last-minute filing complications.

When filing Form 8, you must attach your balance sheet and profit/loss account, a statement of contingent liabilities (if any), the MSME disclosure, and auditor certification if an audit is applicable. All these documents should be properly signed and converted to PDF format before uploading to the portal.

GST registration is mandatory if your LLP's turnover exceeds ₹40 lakhs for goods or ₹20 lakhs for services. Registration is also required regardless of turnover if you conduct inter-state supplies or if you operate in special category states where the threshold is only ₹10 lakhs. Delays in registration can result in steep penalties.

LLPs enjoy simpler compliance requirements compared to companies. They only need to file two annual forms (Form 8 and Form 11) versus multiple forms for companies, have no mandatory board meetings or AGMs, benefit from audit exemptions for smaller operations, and face lower overall compliance costs. This makes the LLP structure particularly suitable for professional services firms and startups.

Even with zero business activity, you must file Form 11, Form 8, and ITR-5. The penalties for non-filing remain the same as for active LLPs. If your LLP is expected to remain inactive, it may be worth considering a formal strike-off process to eliminate ongoing compliance requirements and associated costs.

For a December 2024 incorporation, you have two options: close your first financial year on March 31, 2025 (creating a short period of 3-4 months) or extend your first financial year to March 31, 2026 (allowing up to 18 months). The filing deadlines will be calculated based on whichever financial year-end date you choose.

For Form 8 and Form 11, revision is not possible after submission—accuracy is, therefore, crucial during preparation. For Income Tax Returns, you can file a revised return by December 31, 2025, or an updated return (ITR-U) within 24 months with additional tax payment. This makes it essential to verify all data before initial submission.

LLPs must follow the standard financial year from April 1 to March 31. The only exception applies to newly incorporated LLPs, which can extend their first financial year up to 18 months if incorporated after October 1. This decision must be documented in partner resolutions. After the first year, changing the financial year is not permitted.

Designated partners bear personal responsibility for ensuring timely filing of all returns, maintaining proper books of accounts, and complying with all LLP Act provisions. They can face personal penalties ranging from ₹10,000 to ₹1,00,000 for non-compliance. This role carries significant legal accountability and should be taken very seriously.

Unlike companies, LLPs are not required to hold Annual General Meetings. Partner meetings can be conducted as needed or as specified in your LLP Agreement. This flexibility represents a key advantage of the LLP structure, making governance simpler and more adaptable to the needs of the business and its partners.

If your LLP is struck off due to non-compliance, the consequences are severe: inability to conduct business legally, potential continued liability of partners for obligations, frozen bank accounts, and costly, time-consuming legal proceedings if you later try to restore the LLP. Maintaining compliance is far easier than dealing with these consequences.

To strike off an inactive LLP, file Form 24 with these prerequisites: NIL assets and NIL liabilities statement certified by a CA, consent affidavits from all partners, completion of all pending annual filings, and closure of all bank accounts. This one-time process frees you from ongoing compliance requirements and associated costs.

Yes, each partner must file their individual tax return that reports their share of LLP profits. Partners' remuneration is deductible for the LLP only if specified in the LLP Agreement. Both the LLP and its partners maintain separate tax identities and filing requirements, making it important to keep personal and business taxation distinct.

Throughout the year, maintain comprehensive records, including bank statements for all accounts, sales and purchase invoices, partner contribution details, asset-liability records, minutes of partner meetings, and GST returns, if applicable. Good record-keeping practices throughout the year make the compliance process significantly smoother when filing deadlines approach.