Compliances Under LLP

Sl.

Name of the Section of

Compliance with regard to

Penalty for non-Compliance

the Act, along with the

No.

relevant rule

Chapter –II

The LLP shall have a minimum of Two (02) Partners.

If at any time, the number of Partner in a LLP

1.

is reduced to less than Two(02), and the LLP

Section 6 (1) & (2)

carried on the business for more than Six (06)

months, with the number so reduced, then

the  remaining  Partner  shall  be  liable

personally for the obligations of the LLP

incurred during the period

Chapter – II

The LLP shall have at least Two (02) Designated Partners who are

For non-compliance of the requirement, the

2.

individuals and at least one of them shall be resident in India.

LLP and its every Partner, shall be punishable

Section 7(1)

with fine :

Explanation: “Resident in India” means a person who has stayed

in India for a period of not less than 182 days during the

Not less than Rs.10,000/-, but which may

immediately preceding one year

extend to Rs.5,00,000/-. [Sec.10(1)]

Chapter – III

Invoices, Official Correspondence and publication of the LLP shall

For non-compliance of the requirement, the

3.

bear:

LLP shall be punishable with fine :

Section – 21 (1)

The name, address of its registered office and registration number

Not less than Rs.2,000/-, but which may

of the LLP, and a Statement that it is registered with Limited

extend to Rs.25,000/-. [Sec.21 (2)]

Liability; and

A statement that it is registered with Limited Liability.

Sl.

Name of the Section of

Compliance with regard to

Penalty for non-Compliance

the Act, along with the

No.

relevant rule

Chapter – VII

Maintenance of Books of accounts on cash basis or accrual basis

For non-compliance of the requirement, the,

4.

and according to double entry system of accounting, at the

LLP shall be punishable with fine :

Section  34  r/w

Rule

registered office of the LLP.

No.24 of the LLP Rules,

Auditing of Accounts: Applicable to LLPswhose turnover exceeds

Not less than Rs.25,000/-, which may extend

2009.

to Rs.5,00,000/- [Sec.34(5)].

Rs.40,00,000/- in  any financial year, or whose contribution

exceeds Rs.25,00,000/-.

Every  Designated  Partner  shall  be

Else auditing not required.

punishable with fine:

Not less than Rs.10,000/- which may extend

to Rs.1,00,000/-[Sec.34(5)].

Sl.

N a m e

o f

t h e

Section of the Act,

Compliance with regard to

Compliance with in

Form and

Penalty for non-Compliance

No.

along  with

the

attachments

relevant rule

Chapter – VII

Preparation of Statement of Account and

Six

(06)

months

LLP

Form

No.8,

For  non – compliance  of  the

1.

Solvency for the FY, within a period of Six

from the end of the

along

with

the

requirement,  the,  LLP  shall  be

Section

34

r/w

(06) months from the end of the Financial

F Y

i . e . ,

3 0 t h

Statement of Assets

punishable with fine :Not less than

and

Liabilities

and

Rs.25,000/-, which may extend to

Rule

No.24

of

year, and filing with ROC.

September of every

I n c o m e

a n d

Rs.5,00,000/- [Sec.34(5)].

the

LLP  Rules,

year.

Expenditure

and

disclosure

under

Every Designated Partner shall be

2009.

and

p r o v i s i o n s

o f

section

22

of

the

punishable with fine: Not less than

Micro,

Small

and

Rs.10,000/- which may extend to

Filing with Registrar

M

e

d  i

u

m

Rs.1,00,000/- [Sec.34(5)].

with in 30 days of 6

E n t e r p r i s e s

+

Development

Act,

Additional fee of Rs.100/- for each

months  i.e.,  30th

2006,is to be added

day of delay in filing the return, after

October.

as attachment.

30 days.

Sl.

N a m e

o f

t h e

Section of the Act,

Compliance with regard to

Compliance with in

Form and

Penalty for non-Compliance

No.

along  with

the

attachments

relevant rule

Chapter – VII

Every LLP shall file Annual Return with the

Within  Sixty  (60)

LLP Form No.11,

For  non – compliance  of  the

Registrar with Sixty (60) days of closure of

days of closure of its

mentioning the

requirement,  the,  LLP  shall  be

2.

Section

35

r/w

its financial year

financial

year. i.e.,

details as to the

punishable with fine :Not less than

Rule 25

of

the

30

th

May

of every

Partners,

Rs.25,000/-, which may extend to

Rs.5,00,000/- [Sec.35 (2)].

LLP Rules, 2009.

The annual return

of an

LLP having

year.

Contribution

Every Designated Partner shall be

turnover uptoRs. 5

Crores,

during the

received from

punishable with fine: Not less than

corresponding FY or contribution uptoRs.

them against

Rs.10,000/- which may extend to

50 Lakhs, shall be accompanied with a

their obligation,

Rs.1,00,000/- [Sec.35(2)].

certificate from a

designated partner,

details of any

+

other than the signatory to the annual

penalties

Additional fee of Rs.100/- for each

day of delay in filing the return, after

return, to the effect that annual return

imposed on the

30 days.

contains true and correct information.

LLP/Partner/

Designated

In all other cases, the annual return shall

Partners, and

be accompanied with a certificate from a

details of

Company Secretary in practice to the

interests of the

effect that he has verified the particulars

Partners/Designat

from the books and records of the limited

ed Partners in

liability partnership and found them to be

other entities.

true and correct.

Sl.

N a m e

o f

t h e

Section of the Act,

Compliance with regard to

Compliance with in

Form and

Penalty for non-Compliance

No.

along

with

the

attachments

relevant rule

Chapter – II

7(4) – Notice of appointment, cessation,

Within  30

days

LLP

Form  No.4,

For  non-compliance  of  the

1.

change in name/ address/ designation of

f r o m

t h e

along  with  the

requirement,  the

LLP  and

its

Section 7(4) and

a designated partner or partner. and

appointment/

relevant  consent

e v e r y  P a r t n e r,

s h a l l

b e

(5)  r/wrule

8,

consent to become a partner/designated

cessation/

letter/resignation

punishable with fine :

10(8), 22(2) and

partner  Notice

of  appointment,

Change

letter, as the case

Not less than Rs.10,000/-, which

22(3) of

cessation,  change in  name/  address/

may be.

may  extend  to  Rs.1,00,000/-

LLP Rules, 2009

designation.

[Sec.10(2)].

+

Additional fee of Rs.100/- for

each day of delay in filing the

return, after 30 days.

Chapter – III

Appointment  of

Designated  partner

Within  30

days

LLP

Form  No.4,

For  non-compliance  of  the

2.

within 30 days of vacancy.

f r o m

t h e

along  with  the

requirement,  the

LLP  and

its

Section 9

appointment

relevant  consent

e v e r y  P a r t n e r,

s h a l l

b e

letter/ resignation

punishable with fine :

letter, as the case

Not less than Rs.10,000/-, which

may be.

may  extend  to  Rs.1,00,000/-

[Sec.10(2)].

+

Additional fee of Rs.100/- for

each day of delay in filing the

return, after 30 days.

Sl.

N a m e

o f

t h e

Section of the Act,

Compliance with regard to

Compliance with in

Form and

Penalty for non-Compliance

No.

along

with

the

attachments

relevant rule

Chapter – III

Shifting of Registered office of the LLP,

Within  30  days

LLP Form 15, along

For  non-compliance  of  the

3.

and filing of the notice of such change

from the change

with the proof of

requirement,  the

LLP  and

its

Section  13

(3)

with the Registrar. The change shall take

office,  Extract

of

e v e r y  P a r t n e r,

s h a l l

b e

r/w with Rule 17

effect only upon such filing

the

Resolution

+

punishable with fine :

of the LLP Rules,

S u p p l e m e n t a l

Not less than Rs.2,000/-, which

2009

Agreement, if the

may  extend  to  Rs.25,000/-

change is requires

[Sec.13(4)].

Suppl. Agreement.

+

Additional fee of Rs.100/- for

each day of delay in filing the

return, after 30 days.

Chapter – III

Direction received by the LLP from the

Within Three (03)

LLP

Form

No.1

For  non-compliance  of  the

4.

Central Government to change its name,

months from the

and

LLP

Form

requirement, the, LLP shall be

Section 17

which is in resemblance with any other

date of receipt of

No.5, along with

punishable with fine :

LLP or Body Corporate, and likely be

the Direction

t h e

r e l e v a n t

Not less than Rs.10,000/-, which

mistaken for it.

documents

may  extend  to  Rs.5,00,000/-

[Sec.17(2)].

Every Designated Partner shall

be punishable with fine:

Not less than Rs.10,000/- which

may  extend  to  Rs.1,00,000/-

[Sec.17(2)].

Sl.

N a m e

o f

t h e

Section of the Act,

Compliance with regard to

Compliance with in

Form and

Penalty for non-Compliance

No.

along

with

the

attachments

relevant rule

Chapter – IV

Filing of LLP Agreement – In case there is

Within  30  days

Form No.3, along

Additional fee of Rs.100/- for

5.

no agreement, then the Mutual Eights and

from the date of

with

the  initial

each day of delay in filing the

Section

23

(2),

duties of the Partners shall be governed by

Incorporation  (in

agreement  and

return, after 30 days.

r/w

Rule 21 of

the First Schedule to the LLP Act.

case of initial LLP

the Supplemental

the

LLP

Rules,

Initial as well as Supplemental agreement

Agreement)  and

agreement

2009

also in the case of

as to any change in the mutual

a n y  c h a n g e

Note: LLP  Agreement is not  a Public

therein.

document  and  is  not  available  for

inspection.

Chapter – IV

Intimation of Change in Partners

Within  30  days

LLP Form No.3 and

For  non-compliance  of  the

6.

from the change.

LLP

Form  No.4,

requirement,  the  LLP  and  its

Section

25,

r/w

As change in Partners requires execution

along  with  the

every Designated Partner, shall

Rule

22

of

the

of a Supplemental agreement, the same

r e q u i r e d

be punishable with fine :

LLP Rules, 2009

also needs to be entered into and filed

documents

Not less than Rs.2,000/-, which

with ROC.

may  extend  to  Rs.25,000/-

[Sec.25(4)].

+Additional fee of Rs.100/- for

each day of delay in filing the

return, after 30 days, for each

form.