LLP Settlement Scheme 2020 is a one-time relaxation provided to LLP’s which have defaulted in filing the statutory documents within the required due dates. The LLP’s which opt for this scheme shall not be required to pay additional fees. This scheme has been implemented by the Central Government in exercise of its powers under Section 460 of the Companies Act 2013.
Original circular no – General Circular No. 06/2020
Modified circular no- General Circular No. 13/2020 dated 30.03.2020.
Large Numbers of LLP’s have defaulting in filling of following forms :
1. LLP -3 (LLP Agreement and change there in)
2. LLP- 8 ( Statement of Account and Solvency)
3. LLP- 11 ( Annual Return of LLP)
4. Other Required forms
As per llp act it such form not being filed with in prescribed time presently LLP’s may file such documents on payment of additional fees of Rs. 100 per day.
IMPORTANT POINTS OF LLP SETTLMENT SCHEME 2020
1. APPLICABILITY OF THE SCHEME
It will apply to all defaulting LLP’s except to those LLP’s which have filed Form 24 to the Registrar for striking off their name from the register pursuant to Rule 37(1) of the LLP Rules, 2009.
Defaulting LLP – The defaulting LLP means LLP which has made a default in filing of any document or form with ROC.
Q. Which LLPs are ineligible for availing this Scheme is not applicable?
Ans – This Scheme shall is not applicable to LLPs which have made an application in Form 24 to the Registrar, for striking off its name from the register as per provisions of Rule 37(1) of the LLP Rules, 2009.
2. ELIGIBLE FORMS TO BE FILED
All Forms that LLP is required to file with MCA 21 under the provisions of the LLP act And the LLP Rules 2009. Forms which were due till 31st August 2020.
List of Eligible forms
Link of forms – http://www.mca.gov.in/MinistryV2/llpformsdownload.html
Note – other forms are ineligible to avail this scheme. Eg- form 24
3. DURATION OF THE SCHEME
1st April 2020 to 30th September 2020.
4. CUT OFF DATE FOR LATE FILLING
Defaulting LLP is permitted to file belated documents which were due to filling till 31st Aug 2020.
Belated Documents – It means all forms and documents which are mandatory to be filed with MCA 21 registry.
5. PAYMENT OF FEES
The defaulting LLP’s may file form up to 30th September, till then NO additional fees will be charged to file form.
6. RELAXATION FROM PROSECUTION
The defaulting LLP’s which have filed their pending documents till 30th September, 2020 shall not be subjected to prosecution by ROC.
7. MCA ACTION WHO NOT AVAIL THE BENEFIT OF THE SCHEME
If the defaulting LLP’s fail to utilize the scheme, the registrar shall proceed against the LLP, and the LLP may also be subject to prosecution.
KEY FEATURES OF SCHEME
1. No Additional Fees
2. One Time Relaxation
3. 6 Month Period Available For Filling ( 1st April To 30th Sep)
4. Big Opportunity For Defaulting Llp’s To Save Money Of Late Fees And Penalties.