Compliance Requirements for LLPs in India

Limited Liability Partnerships (LLPs) in India are governed primarily by the Limited Liability Partnership Act, 2008, and are also subject to other general laws like the Income Tax Act, 1961, and relevant provisions under the Goods and Services Tax (GST), Labour Laws, and Foreign Exchange Management Act (FEMA), where applicable.

Below is a comprehensive overview of the compliance requirements for LLPs in India:

📋 Mandatory Annual Compliance for LLPs
Compliance Description Due Date
Form 11 (Annual Return) Contains details of partners and changes during the year. 30 May every year
Form 8 (Statement of Accounts & Solvency) Declaration of solvency and financial statements. 30 October every year
Income Tax Return (ITR-5) Income tax return for LLPs 31 July (if audit not required); 31 October (if audit required)
Audit under Income Tax Act Mandatory if turnover exceeds ₹1 crore (or ₹50 lakhs for professional LLPs) Before filing ITR

📦 Event-Based Compliance
These are required only when specific events take place:

Event Compliance Form Timeline
Change in Partners/Designated Partners Form 4 Within 30 days
Change in LLP Agreement Form 3 Within 30 days
Change in Registered Office Form 15 Within 30 days
Increase in Contribution Form 3 Within 30 days

💸 Tax Compliance
Compliance Applicability
GST Registration If turnover > ₹20 lakh (₹10 lakh in some states) or involved in interstate supply
TDS Returns (Form 26Q, etc.) If LLP is liable to deduct TDS
Advance Tax If tax liability > ₹10,000/year

👷‍♂️ Labour Law Compliances (If LLP has employees)
Provident Fund (PF) – Mandatory if 20 or more employees

Employees’ State Insurance (ESI) – Mandatory if 10 or more employees (in eligible industries)

Professional Tax – Applicable in certain states

🌐 Other Compliance
Requirement Description
Books of Account Maintain on accrual or cash basis
Digital Signature Certificate (DSC) Valid DSC required for designated partners to file forms
Designated Partner Identification Number (DPIN) Required for all designated partners

🔍 Penalties for Non-Compliance
Non-Compliance Penalty
Late filing of Form 8/11 ₹100 per day (no cap)
Failure to file ITR ₹1,000 to ₹10,000 depending on turnover
Other defaults Can attract penalties from ₹5,000 to ₹1 lakh or more