LLP Income Tax Return Filing
Limited Liability Partnership firm is kind of business owned and managed by 2 or more partners. Two or more person come together with aim of earning profit and they form partnership firm. For Income Tax purpose status of Limited Liability Partnership & partnership firm is same. Limited Liability Partnership is different than it partners. Hence before filing income tax return of partners firm should first file ITR of LLP. Income tax return for LLP is applicable irrespective of its turnover or net profit or loss. Even LLP having foreign capital shall file ITR return. LLP income tax return is annual reporting to tax authorities about LLP annual sales/gross receipts , expenses ,partners salary etc. LLP Income tax return filing due date for FY 2019-20 is 31 July 2020. LLP registered before 31 March 2020 required to file ITR return.
A N Bhutada & CO Provide Limited Liability Partnership (LLP) Income Tax Return Filing, tax planning & auditing services. We specialize for tax filing ,annual compliance services for Limited Liability Partnership. We provide services of Preparing books of accounts , financial statements, secretarial services , income tax planning, prepare income tax computation sheet.
- ITR Filing Due date 31 July 2020
- ITR Form 5 Applicable
- Non Filing Penalty upto Rs.10000
- Online Filing Applicable
- Income Tax Rate 30%
- Audit Applicable if turnover > Rs. 100 / Rs. 50 Lac
Income Tax Rate On LLP
Income Tax rate on Limited Liability Partnership firm applicable at 30%. LLP status is different than its partners. Income tax rate for Limited Liability Partnership firm and normal partnership firm is same.
| S.No | Income Tax | Tax Rate | Financial Year |
|---|---|---|---|
| 1. | Income Tax | 30% | FY 2019-20 |
| 2. | Surcharge if total income exceeds Rs. 1 crore | 12% | FY 2019-20 |
| 3. | Health and Education cess | 4% | FY 2019-20 |
Procedure to file LLP Income Tax Return
For Every LLP Income tax return need to be filed annually for maintaining compliance under Income Tax Act. LLP is run by its partners and its partners responsibility for maintain proper books of accounts of LLP for tax filing. Income tax filing for LLP is process where LLP reports its annual financial details of income , expenditure , assets etc. to tax department. Procedure to file LLP Income tax return is online. One can download ITR From 5 from income tax site.
Alternate Minimum Tax (AMT) on LLP
Alternate Minimum Tax (AMT) on LLP it tax amount calculated on adjusted total income of LLP. AMT is a way to collect minimum tax from zero tax payer. Adjusted total income is defined under Income Tax Section 115JC (2). adjusted total income of the LLP @18.5% + 3% education cess, the effective rate is 19.05%. The surcharge in tax rate is not applicable in case of LLP. For tax calculation adjusted total income is deemed to be taxable income of LLP. If tax under normal tax rate is equals to AMT then AMT provisions shall not apply to LLP.
Income Tax Filing Due Date for LLP
Income Tax Filing Due Date For LLP For FY 2019-20 ( AY 2020-21) that is 31 July 2020. Where in case for Limited Liability Partnership tax audit under income tax section 44 AB is applicable then due date is 30 September 2020. Hence income tax return filing due date depends on LLP nature of business and its annual turnover / gross receipts and partners capital contribution.
Penalty For Non Filing of ITR for LLP
Section 234 F of Income Tax is applicable for penalty for non filing of Income tax return of LLP. For income tax filing after due date penalty upto Rs. 10000 is applicable. To avoid late filing fees one should file income tax return on or before 31 July 2020 / 30 September 2020.
Content of ITR - 5
Part A
General information of LLP Pan,address,contract , partners details , profit & loss sharing .etc.Details of Profit & loss,Balance sheet statement and other information.
Schedules
Schedule content information of detail of your total income of LLP in schedule such as income from house property, income from business, details of capital gain, depreciation etc.
Part B
ITR 5 Form Part B is tax liability calculation of LLP , calculate net tax liability, tax paid , tds credit , tax relief under DTAA, interest & fees payable ,Net tax payable / refund.
Documents required for Income Tax Filing for LLP
LLP Tax return filing is annual process , financial year for LLP ITR filing is April to March. Tax filing is detail reporting of LLP annual financial statements. LLP ITR form consist of detail of LLP PAN, address , Sales , expenses details. For LLP ITR filing below list of documents required. 1. PAN of LLP2. Address Proof , Contact details of partners
3. Books of accounts of firm ( Like Sales , Purchases statement)
4. Balance sheet & Profit loss statement
5. Income Tax computation sheet
6. Tax Paid challans & 26 AS Details
7. Digital Signature of partner
8. Advance Tax callans
9. 26 AS
