AN INTRODUCTION

Ministry of Corporate Affairs (MCA) introduced a scheme which gives an opportunity to the Limited Liability Partnership(LLP) to make all its pending compliances (including annual filing) without any additional fees.

This means that the Limited Liability Partnership(LLP) can file the pending documents with only normal fees applicable to the Limited Liability Partnership(LLP) without payment of any penal amount

i.e., “NO PENALTY- USE THE OPPORTUNITY AND SAVE YOUR MONEY”

FAQ

Q 1. What is the actual name of the Scheme?

Ans: Limited Liability Partnership(LLP) settlement Scheme, 2020.

Q 2. From which date shall the scheme will start and end?

Ans: Starting date: 1st April, 2020

Ending date:  30th September, 2020

Q 3. What is the USP of the Scheme?

Ans: One-time waiver of additional filing fees for delayed filings by the LLPs with the Registrar of Companies (ROC).

Q 4. On which organization the Scheme is applicable?

Ans: The Scheme is applicable to all the Defaulting LLP i.e., those LLP which has made a default in filing of documents on the due date(s).

Q 5. On which forms the Scheme is applicable?

Ans: The scheme applies to all e-forms required to be filed with MCA that are as follows:

> Form-3- Information with regard to limited liability partnership agreement and changes, if any, made therein;

> Form-4- Notice of appointment, cessation, change in name/ address/ designation of a designated partner or partner and consent to become a partner/ designated partner;

> Form-8; Statement of Account & Solvency (Annual or Interim);

> Form-11- Annual Return of Limited Liability Partnership (LLP).

Q 6. Example of case in which we can avail the scheme?

Ans:

Example 1:

Let’s suppose, there is ABC LLP which is incorporated on 1 SEPTEMBER, 2017, since then, the LLP has not filed its statutory documents with ROC (i.e., form-11 of annual return which is to be filed within 60 days of closure of its financial year).

So the Due date of filing Form 11 is 30th May, 2018 for ABC LLP and the LLP has not filed the form on due date.

Now, what can the LLP do?

In this case, by taking benefit of the scheme, the LLP can file its all pending statutory documents (i.e., form-11 of annual return) with normal fee applicable to the LLP as if the documents were filed on due date by the LLP and no additional fees have to be paid.

EXAMPLE 2:

Let’s suppose, there is XYZ LLP which is incorporated on 1st AUGUST, 2014,  since then, the LLP has not filed its statutory documents with ROC (i.e., form-8 of Statement of Account & Solvency which is to be filed within 30 days from end of six months of close of financial year).

So the due date of filing Form 8 is 30th October, 2015,  30th October, 2016 and so on for ABC LLP and the LLP has not filed the form on due dates.

Now, what can the LLP do?

In this case, by taking benefit of the scheme, the LLP can file its all pending statutory documents (i.e., ., form-8 of Statement of Account & Solvency) with normal fee applicable to the LLP as if the documents were filed on due date by the LLP and no additional fees have to be paid.

Q 7. Is there any case, in which the Scheme shall not apply?

Ans: Yes, The Scheme shall not apply in the following case:

 LLPs which has made an application in Form 24 to the Registrar, for striking off its name.

Q 8. Is there any Immunity from prosecution in respect of documents filed?

Ans: Yes, The defaulting LLPs, which have filed their pending documents till 31ST AUGUST 2020 shall not be subjected to prosecution by ROC. 

Q 9. For seeking immunity under the scheme the manner of payment of fee of belated documents?

Ans: The defaulting LLPs may themselves avail this scheme for filing documents which have not being filed or registered in time on the payment of normal fee and no additional fees have to be paid for filing any belated document.

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