Audit of LLP: Types, Eligibility, Report, Benefits 

Introduction

Every Limited Liability Partnership (LLP) registered in India must comply with certain audit requirements based on its turnover, income, or capital contribution. An Audit of LLP ensures that the firm’s financial statements are accurate and comply with legal standards under the LLP Act, 2008 and the Income Tax Act, 1961.
The Central Board of Direct Taxes (CBDT) has extended the due date for filing audit reports for AY 2025-26 from 30th September 2025 to 31st October 2025, giving LLPs an extra month to complete their compliance process.
At Ebizfiling, we assist LLPs in understanding audit applicability, preparing reports, and filing them on time to avoid penalties or non-compliance.

What is an Audit of LLP?  

An Audit of LLP is an independent examination of the firm’s books of accounts to ensure that its financial statements present a true and fair picture. It confirms that the LLP complies with accounting standards, taxation rules, and disclosure requirements.

Audits are essential for both regulatory compliance and maintaining financial discipline within the business.

Types of LLP Audit  

1. Statutory Audit under LLP Act, 2008  

A Statutory Audit is mandatory when:

• The LLP’s annual turnover exceeds ₹40 lakh, or

• The capital contribution of partners exceeds ₹25 lakh.

Process:  

• Partners appoint a Chartered Accountant (CA) as auditor.

• The CA reviews financial statements and supporting documents.

• The auditor issues a report confirming accuracy and compliance.

• The report is attached with Form 8 (Statement of Accounts and Solvency) filed with the Registrar of Companies (ROC) every year.

Filing Deadline:  

• Form 8 must be filed on or before 30th October every year after completion of the statutory audit.

2. Tax Audit under Income Tax Act, 1961  

A Tax Audit is required under Section 44AB of the Income Tax Act when an LLP’s turnover or income exceeds prescribed limits.

Audit Report Forms:  

• Form 3CA – For LLPs already audited under another law.

• Form 3CB – For LLPs not subject to any other audit.

• Form 3CD – Detailed report of particulars attached to 3CA/3CB.

Due Date:  

The CBDT has extended the due date for filing Tax Audit Reports for AY 2025-26 from 30th September 2025 to 31st October 2025.

Eligibility Criteria for LLP Audit  

LLPs below these limits are exempt from audit but must still maintain proper books of accounts for inspection or future reference.

Audit Report of LLP  

An audit report is the final certification provided by the auditor. It includes:

• Review of financial statements and cash flow records.

• Verification of expenses, income, and partner contributions.

• Remarks or qualifications made by the auditor (if any).

• Confirmation that all provisions under the LLP Act and Income Tax Act have been followed.

The report is signed by the auditor and submitted electronically through the income tax portal or ROC portal, depending on the audit type.

Benefits of Conducting an LLP Audit  

• Legal Compliance: Helps LLPs meet all legal and taxation obligations.

• Transparency: Builds credibility with partners, banks, and regulators.

• Error Detection: Identifies financial errors and irregularities early.

• Better Financial Planning: Ensures reliable data for decision-making.

• Avoids Penalties: Timely audits prevent legal fines or disqualifications.

Penalties for Non-Compliance  

How Ebizfiling Helps with LLP Audit Compliance  

At Ebizfiling, we ensure that every LLP fulfills its audit and filing obligations correctly and on time. Our services include:

• Assessing whether Statutory or Tax Audit applies.

• Coordinating with Chartered Accountants for report preparation.

• Filing Form 8, Form 11, and Tax Audit Reports before due dates.

• Keeping LLPs compliant with both MCA and Income Tax requirements.

We make compliance simple so you can focus on growing your business.

Suggested Read :

LLP Form 4

LLP Form 3

Form 8 LLP

Process to Change LLP Agreement

Importance of an LLP Certificate

FAQs on Audit of LLP