Non - Compliance of LLP - Filing pending

[Vaibhav Gandhi]

Hello Guys,

We had started an LLP company in 2014 with an intention of making grouping based online marketplace. Somehow idea of business was not technically feasibly and hence we were required to close the business. One or the other partner also had to travel due to current job assignments and we could not manage to close LLP on time. We were not aware of all compliance of LLP hence we did not made any filings till date. Now we are receving mail to file returns while CA firms had mailed us that we would have to pay very heavy penalty before closing LLP. Ideally we did not make single transaction and business on this company since idea was technically infeasible and it was not executed. Now we want to avoid this penalty by some way. Please help us with your expert opinion if there are any provision to avoid this penalties.

Any help is highly appreciated. Thanks in advance

[DR.MARIAPPAN GOVINDARAJAN]

You have to file the required returns under LLP Act with the authorities even though there is not transaction otherwise it will attract penalty. File the required returns immediately.

AI Summary

LLP filing obligation: absence of transactions does not remove duty to file returns and penalties may follow if delayed.
The LLP, though carrying out no transactions since incorporation, remains subject to statutory filing duties; absence of business does not eliminate the obligation to file returns and persistent failure to file attracts penalties. Immediate submission of the required returns and subsequent steps toward formal closure are necessary to address regulatory notices and penal exposure.