ROC Compliance for LLP (2023)

ROC stands for Registrar of Companies. Under the Ministry of Corporate Affairs, this office has been established. According to the Companies Act, the ROC is responsible for registering companies and limited liability partnerships (LLPs). A registry of records pertaining to the companies registered with the ROC is maintained by the office of the ROC. This article tries to draw a significant value of  ROC Compliance for LLP.

How Do I File an LLP Compliance?

LLP Compliances can be filed online through the MCA website.

The following are the main compliances that an LLP should comply with:

• Form -11: In order to file Form 11 along with the fee, we should do so within 60 days of the end of the financial year. For LLPs, the fiscal year ends on 31 March of each year. The LLP Form 11 must be filed by LLPs by 30 May of each year. Failure to file your LLP Annual Filing returns on or before the deadline will result in penalties.
• Form-8: The Form-8 i.e the Statement of Solvency shall be filed by 30th October i.e within 30 days from the end of six months of the financial year.

Is ROC Filing Mandatory for LLP?

Yes, the ROC Filing is mandatory for LLP to avoid non-compliance and additional fees.

• There is significant importance to ROC filing for LLPs since they must file Form – 8 within 30 days from the end of six months of their financial year, that is by the end of October of the following year. 
• LLPs are required to report on their assets, liabilities, profit, and loss during the fiscal year on this form.

Who Is Liable for Compliance and Penalties Under LLP Act?

• Each designated partner is responsible for performing all acts, matters, and things required by the LLP Act. 
• The individual may be liable and guilty for the following punishments if they knowingly submit false documents in the name of the LLP, including return statements, or incorporation documents. There may be a fine of up to five lakhs and a minimum fine of one lakh.

FAQ: What Is the ROC Compliance for LLP?

1. Each company/LLP registered in India is required to submit an annual ROC compliance report in accordance with the deadlines stipulated in the Companies Act, 2013, and Companies Rules. 
2. It is mandatory for companies and LLPs to file the ROC forms with ROC without fail, or else they will be subject to a penalty. 
3. The government is trying to convey the importance of  ROC Compliance for LLP through the penalty.

What Is the Mandatory Compliance of LLP?

1. LLPs are required to comply with certain mandatory compliance obligations as soon as they are incorporated. 
2. In the event that an LLP fails to comply with these requirements, it may be subject to hefty penalties. 
3. After an LLP is registered in India, it must comply with a number of important compliance rules; these include filing of Form-8 (Statement of Solvency) and Form-11 (Annual Return).

Does LLP Need to File an Annual Report?

1. To fill out an LLP, an annual report or return is essential. 
2.  LLPs cannot be submitted without an annual report. 
3. Form 11 (annual report) must be submitted to the ROC within 60 days of the end of the financial year. As a result, Annual Returns are required to be filed on or before May 30 each year. 
4. An LLP must prepare and close its accounts each year.
5. Each day of default will result in a penalty of Rs.100.

However, there is no need to prepare detailed annual report as applicable in case of Companies.

What Is the Cost of LLP Compliance?

The Government fee for LLP compliance depends on the amount of contribution by the partners in an LLP and the same ranges between 50 – 1000.

What Is the Penalty or Additional fee for late filing?

The penalty for LLP non-compliance depends on the number of days of delay. 

The additional fee that can be levied be as less as 1 time of normal fee and as high as 15 times of normal fee depending on the period of delay.

Conclusion:

An LLP must be properly registered in order to operate. Successful performance cannot be achieved without registration. In this regard, ROC compliance is an important aspect of LLPs. The purpose of this article is to demonstrate the importance of ROC compliance for limited liability partnerships. Feel free to reach out to our experts at Instafiling who can help you with meeting all your compliance requirements. 

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