The MCA (Ministry of Corporate Affairs) had notified revised rules for LLP effective from 02nd October 2018. It introduced new e-forms and changes to the old process of incorporation i.e. registration of LLP. Here is a brief comparison:
Changes in LLP Registration Process on MCA
| Changes |
Old Process |
New Process |
| Digital Signature (DSC) | To file Form-1 for the name approval, DSC of the designated partner was mandatory | The applicant can submit a request for name approval without DSC under new RUN-LLP service [Register DSC on MCA] |
| DIN/DPIN | The applicant needs to file an application for allotment of DIN/DPIN separately through Form DIR-3 | The applicant can file an application for allotment of DIN/DPIN together with Form FiLLiP |
| DIN/DPIN | To file Form-2 for incorporation, DIN / DPIN of the signing partner was compulsory | To file Form FiLLiP for incorporation, PAN of the signing partner is allowed in absence of DIN / DPIN |
| Name Approval | Application for name approval could be made by filing Form 1 for which DSC and DPIN was mandatory | Request for name approval can be made through RUN-LLP service for which DSC and DPIN is not required |
| Incorporation | The incorporation can be applied through Form-2 after the name is approved on filing Form-1 | Incorporation and name approval together can be applied for by filing Form FiLLiP |
| Forms | Form DIR-3 – Application for DIN / DPIN | RUN-LLP service – Name reservation |
| Application for Name Approval – Form 1 | Name reservation, DIN / DPIN application, Incorporation – Form FiLLiP | |
| Incorporation of LLP – Form 2 | Name reservation, DIN / DPIN application, Incorporation – Form FiLLiP | |
| Registration of LLP Agreement – Form 3 | Registration of LLP Agreement – Form 3 |
FAQs
MCA has revised the LLP registration process effective from 02nd October 2018. In this new process, the LLP name approval form can now be submitted without the Digital Signatory Certificate (DSC) of the applicant.
Incorporation and name approval can now be applied simultaneously.
Form FiLLiP allows applicants to request incorporation and name approval both through the sane form.
Form – 5 (Notice for change of name), Form – 17 (Application and statement for the conversion of a firm into LLP) & Form – 18 (Application and Statement for conversion of a Private Company/Unlisted Public Company into LLP) will remain same with minor modifications.
However, RUN-LLP SRN is to be substituted for Form-1 SRN in the relevant field & PAN is allowed to be entered in the DSC section.
Hello @Shelly_Trivedi
In order to register an LLP on Ministry of Corporate Affairs, the first step is to reserve a name for the proposed LLP. In order to reserve name, RUN-LLP needs to be filled out on MCA along with 2 proposed names of the LLP and NoC, if any required by paying a fee of Rs. 200/-
Once the name has been approved by MCA, the name is valid for a period of 3 months within which e-Form FiLLiP needs to be filed along with documents as may be required, for incorporating the LLP. The fees of filing e-Form FiLLiP depends on the contribution of the LLP.
Hope this helps!
Hey @AM_POWER
As per the Limited Liability Partnership Act, 2008, Financial Year is defined as under:
" financial year, in relation to a limited liability partnerships, means the period from the 1st day of April of a year to the 31st day of March of the following year:
Provided that in the case of a limited liability partnership incorporated after the 30th day of September of a year, the financial year may end on the 31st day of March of the year next following that year;"
Hence, an LLP incorporated in February, 2019 can opt for closing its books of accounts in March, 2021. Thus you don’t need to make the compliances for FY 2019-20, as the first financial year will be from February 2019, to March, 2021.
Hope this helps!
Hey @AM_POWER
There was a typo in the previous post regarding the financial year.
However, you wont be able to take the benefit of Financial Year in your case so what you can do is raise a complaint on MCA and explain that Form-3 wasnt approved. Or you can contact your local ROC for this.
Hope this helps!
Hey @AM_POWER
For Form-8 (Section 34) and Form-11 (Section 35) of the LLP Act, 2008, specifies that if any LLP fails to file its annual return before the expiry of the periods specified, such LLP and the Designated Partners shall be liable to pay a penalty of Rs. 100/- per day, subject to maximum Rs. 100,000/-
The above provisions are subject to any extensions that may have been provided by MCA for that financial year.
You can check out the LLP Act, 2008 here.
Hope this helps!
Hi @Mohit_More
In order to add or remove Designated Partner of an LLP, e-Form - 4 needs to be filed within 30 days of such addition/ removal.
You can learn more about making changes in Designated Partners of LLP here
Hope this helps!
Hello @Rachit_Awasthi1
LLP Agreement shall be filed in e-Form-3 within 30 days of incorporation.
Here’s an article that explains LLP Agreement in details
Hey @Vicky_Singh
The major advantages of an LLP over a partnership firm is that an LLP has a separate legal existence than its owners and the liability of the partners of an LLP is limited which is not the case in a partnership firm.
You can read more about the process of converting an a partnership into an LLP here:
Hope this helps!
I had a query, how can I file Annual Return for LLP?
Hey @Nandana
Annual return of LLP is to be filed in e-Form 11. Fill in the details regarding LLP and Designated Partners like their contribution, etc. Details of LLP and or company in which Partner/Designated Partner are a Director/Partner is mandatory to attach with the form.
Hope this helps!
Hey @Ujvin_Nevatia
As per LLP Act, Financial Year means the period starting 1st of April and ending 31st March of the following year. However, since your LLP has been incorporated after 1st April, your financial year will start from the date of incorporation, i.e., 07/11/2020.
Details of Designated Partners is a mandatory attachment for Form-11 even if the Designated Partners are not Directors/ Designated Partners in any other entity. You can mention “NIL” in the field where you are supposed to mention the name of LLP/Company against the DPIN or each Designated Partner.
You can download the format of details of designated partners here
Hope this helps!