The Government of India has issued a General Circular No.08/2023, granting one-time relaxation in additional fees for delayed filing of Form-3, Form-4 and Form-11 by limited liability partnerships (LLPs).
Form-3 is the LLP Agreement and changes therein, Form-4 is the Notice of appointment, cessation, change in name/ address/ designation of a designated partner or partner and consent to become a partner/ designated partner, and Form-11 is the Annual Return of LLP.
The circular states that the relaxation is being granted to address the difficulties faced by LLPs in filing these forms due to mismatch in the master data in the electronic registry of the Ministry.
The salient features of the relaxation are as follows:
- The Form-3 and Form-4 would be processed under Straight Through Process (STP) mode for all purposes except for change in business activities.
- At the time of filing these forms, the pre-filled data as per existing master data of the LLP shall be provided in each of above mentioned forms but the same shall have the facility to edit.
- The filing of Form-3 and Form-4 without additional fee shall be applicable for the event dates 01.01.2021 and onwards. For events dated prior to 01.01.2021, these forms can be filed with 02 times and 04 times of normal filing fees as additional fee for small LLPs and Other than small LLPs respectively.
- The filing of Form-11 without additional fee shall be applicable for the financial year 2021-22 onwards. Form-11 for previous years (prior to financial year 2021-22) can be filed with 02 times and 04 times of normal filing fee as additional fee for small LLPs and Other than small LLPs respectively.
- These forms shall be available for filing from 01.09.2023 onwards till 30.11.2023 (both dates inclusive).
- The LLPs availing the scheme shall not be liable for any action for delayed filing of the Form-3, Form-4 and Form-11.
The circular is a welcome relief for LLPs that have been unable to file these forms due to technical difficulties. It will help them to update their master data and comply with the relevant regulations.
If you are an LLP that has not filed Form-3, Form-4 or Form-11 within the due date, you can take advantage of this relaxation by filing the forms from 01.09.2023 onwards till 30.11.2023.
For more information, you can visit the website of the Ministry of Corporate Affairs or contact your CA.
Here are some related FAQs about the blog post:
What are Form-3, Form-4 and Form-11?
- Form-3 is the LLP Agreement and changes therein. It is a document that contains the details of the LLP, such as its name, registered office, partners, and business activities.
- Form-4 is the Notice of appointment, cessation, change in name/ address/ designation of a designated partner or partner and consent to become a partner/ designated partner. It is a document that is filed to notify the Ministry of Corporate Affairs of any changes to the LLP’s partners or designated partners.
- Form-11 is the Annual Return of LLP. It is a document that is filed annually to provide the Ministry of Corporate Affairs with information about the LLP’s activities and finances.
Who is eligible for the relaxation?
The relaxation is available to all LLPs that have not filed Form-3, Form-4 or Form-11 within the due date. However, there are some conditions that must be met:
- The event date for the form must be on or after 01.01.2021.
- The LLP must be a small LLP or an Other than small LLP.
- The LLP must file the form from 01.09.2023 onwards till 30.11.2023.
What are the additional fees for late filing?
The additional fees for late filing are as follows:
- For small LLPs:
- Form-3 and Form-4: 2 times the normal filing fees
- Form-11: 2 times the normal filing fees
- For Other than small LLPs:
- Form-3 and Form-4: 4 times the normal filing fees
- Form-11: 4 times the normal filing fees
How can I avail of the relaxation?
To avail of the relaxation, you can file the relevant forms on the website of the Ministry of Corporate Affairs. You will need to provide the following information:
- The LLP’s registration number
- The event date for the form
- The additional fees (if applicable)
What are the benefits of availing of the relaxation?
The benefits of availing of the relaxation include:
- You will not be liable for any action for delayed filing of the form.
- You will be able to update your master data and comply with the relevant regulations.
- You will avoid the additional fees for late filing.