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    Published Fri, 05 Aug 2022 | Updated Fri, 05 Aug 2022 Income Tax

    A Limited Liability Partnership (LLP) is governed by the provisions of the Limited Liability Partnership Act, 2008 read with the allied Rules. However, in addition to the compliances as required under Limited Liability Partnership Act, 2008, such LLPs are also required to comply with taxation and labour laws. In this Article, we have detailed out such mandatory compliances as are applicable on a LLP:

     

    Key Points:

    A. Compliances under Limited Liability Partnership Act, 2008 read with allied Rules
    B. Compliances under FEMA Regulations
    C. Compliances under Goods and Services Tax (GST) Act, 2017
    D. Compliances under Income Tax Act, 1961
    E. Compliances under Labour Laws

    A. Compliances under Limited Liability Partnership Act, 2008 read with allied Rules

    S. No.

    Compliance

    Form

    Due-date

    Remarks

     

    Immediately after Incorporation

    1.

    Filing of LLP Agreement

    e-Form 3

    Within 30 days from incorporation

    -

          2.

    Opening of bank account

    -

    -

    Bank account shall be opened on priority and all financial transactions shall be made through this bank account only

     

    Annually

          1. 

    KYC of Designated Partners

    e-Form DIR-3 KYC

    30th September of immediate next financial year

     

           2.

    Filing of Annual Return

    e-Form 11

    30th May of the following FY

     

          3.

    Appointment of Statutory Auditors and getting the Statutory Audit done

    -

    On or before the expiry of six months from the closure of the financial year

    Required only when contribution exceeds Rs. 25,00,000 or annual turnover exceeds Rs. 40,00,000

          4.

    Filing of Financial Statements

    e-Form 8

    30th October of the following FY

    -

    B. Compliances under FEMA Regulations

    S. No.

    Compliance

    Form

    Due-date

    Remarks

     

    Immediately after Incorporation

          1. 

    Reporting of receiving of capital contribution from a Person Resident outside India

    FDI-LLP (I)

    Within 30 days from the date of receipt of amount of consideration

    To be filed on RBI SMF Portal
     

     

    Annually

    1.  

    Annual Return on Foreign Liabilities and Assets

    -

    On or before 15th July of each year

    To be filed on RBI FLAIR System
     

    Note: The aforesaid compliances under FEMA regulations shall be applicable only upon a LLP receiving any foreign direct investment.

    C. Compliances under Goods and Services Tax (GST) Act, 2017


    S. No.
                             Compliance     Form                Due-date                         Remarks
      Immediately after Incorporation

    1.

    GST Registration   Within 30 days of crossing the threshold limit Mandatory if annual turnover exceeds the specified limit.
    Currently, Rs 40 Lacs for businesses other than the specified state and Rs 20 Lacs for service providers
      Monthly

    1.

    Reporting of Outward Supply (in case turnover exceeds Rs. 5 Crore or person who has not opted QRMP* scheme) GSTR-1 By 11th of the following month -

    2.

    Reporting of Invoices (for the person who opted QRMP scheme) GSTR-1 IFF By 13th of the following month  -

    3.

    Payment of tax and filing of return having summary of outwards supplies, tax credits etc (for the person other than who opted QRMP scheme)

    GSTR- 3B By 20th of the following month -
    4.  Payment of tax (for the person who opted QRMP scheme)   By 22nd/24th of the following month   
      Quarterly

    1.

    Reporting of Outward Supply (in case turnover is up to Rs. 5 Crore & who have opted for QRMP Scheme)

    GSTR-1

    By 13th of the month following the quarter -
    2. Payment of tax and filing of return having summary of outwards supplies, tax credits etc (for person who opted for QRMP Scheme) GSTR-3B 22nd/24th of the following  month of the quarter -
      Annually

    1.

    Filing of GST Annual return (if turnover exceeds 2 crores) GSTR-9 By 31st December of following year -

    2.

    Filing of GST reconciliation statement (if turnover exceeds Rs. 5 crores) GSTR-9C By 31st December of following year  

    * QRMP Scheme: The Central Board of Indirect Taxes & Customs (CBIC) introduced the Quarterly Return Filing and Monthly Payment of Taxes (QRMP) scheme under Goods and Services Tax (GST) to help small taxpayers whose turnover is less than Rs.5 crores. The QRMP scheme allows the taxpayers to file GSTR-3B on a quarterly basis and pay tax every month.

    D. Compliances under Income Tax Act, 1961

    S. No.           Compliance        Form                    Due-date                                          Remarks
      Monthly

    1.

    Deduction and deposit of Tax Deducted at Source, and Equalisation levy (payable on digital advertisement payments to non-resident service providers) ITNS-281 7th of the following month
    (In case of March, 30th April)
     
      Quarterly

    2.

    Payment of advance tax ITNS-280

    15th June, 15th September, 15 December and 15th March

    Advance tax is required to be paid in case the estimated total tax liability is Rs. 10,000 or more

    3.

    Filing of TDS return

    24Q (Salary)

    26Q (Other than salary)

    27Q (Non-resident Indian)

    By 30th/31st of the month following the quarter other than March quarter.

    Due Date for March quarter is 31st May of the subsequent Financial Year

     

    4.

    Issuance of TDS Certificate Form 16 (Salary)
    Form 16A (other than Salary)
    By 15th of the month following the due date of filing of TDS return -

    5.

    Filing of TCS return 27EQ 15th of the month following the quarter -

    6.

    Issuance of TCS Certificate 27D By 15th of the month following the due date of filing of TCS return -
      Annually

    1.

    Filing of Annual Income Tax Return   By 31st July/ 31st October/ 30th November of the following year as applicable.

    31st October: Assessee on whom Tax Audit is applicable, provided they have duly filed Tax Audit Report by 30th September

    30th November: Assessee who are required to furnish transfer pricing report, provided they have duly filed their Tax Audit Report and Transfer Pricing report by 31st October

    2.

    Getting the tax audit done by chartered accountant in practice if gross receipts exceed prescribed limit and filing of tax audit report Form 3CA-3CD, Form 3CB-3CD By 30th September/ 31st October of the following year as applicable

    To be done by a chartered accountant in practice if gross receipts exceed the following limits:

    Rs. 1 Crore: in case of business

    Rs. 50 Lacs: In case of profession

    Rs. 10 Crore (applicable from AY 2022-23): For business whose aggregate of all receipts in cash does not exceed 5% of such receipts during the previous year and aggregate of all payments in cash does not exceed 5% of such payment during the previous year

    3.

    Preparation and filing of transfer pricing study and accountant certificate, if applicable Form 3CEB By 31st October of the following year. -
      Others

    1.

    Furnishing of challan cum statement in respect of TDS under section 194-IA/IB 26QB/26QC Within 30 days from the end of the month in which the deduction is made -

    E. Compliances under Labour Laws

    S. No.

    Compliance

    Form

    Due-date

    Remarks

     

    Monthly

         1.

    Payment of Provident Fund (PF) contribution

    ECR

    15th of the following month

     

         2.

    Payment of Employees’ State Insurance (ESI)

    -

    15th of the following month

     

     

    Half-yearly

     

    1. 

    Return of Employees’ State Insurance (ESI)

     

    11th May (for period October to march) and 11th November (for period April to September)

     

     

    Annually

           1.

    Labour Welfare Fund

    -

    Paid on annual basis as per the due date applicable in respective states

     

           2.

    Filing of PF Return

    -

    25th April subsequent to financial year

     


    These are broad compliances which need to be ensured by any LLP registered in India. However, there may be some additional compliance required under different laws depending upon industry, nature of business and other factors. The list may not be exhaustive and subject to vary with various amendments in relevant laws, accordingly it is advisable to take professional opinion before acting upon the same.