Compliances of Partnership Firm
Payment after work completion.
140 +
Customer
160 +
Complete Projects
Reviews
Compliances of Partnership Firm
Compliance refers to the act of adhering to laws, regulations, standards, or guidelines. Compliances refers to the process of ensuring that a company or organization follows all applicable laws, regulations, and all internal policies that governs its operations. Annual compliances of private limited company encompass a range of regulatory obligations that the company must fulfill on an annual basis to ensure legal compliances, transparency and accountability to its operations.
Compliances include:- GST Compliance
- Income Tax Compliance
- ESIC/EPFO Compliance
- Accounting
GST Compliance
1. GSTR-1
GSTR-1 is a monthly or quarterly return that must be filed by registered GST taxpayers to report their outward supplies (sales) of goods or services.
- Purpose:
- To declare sales invoices, credit notes, and debit notes issued during the period.
- Enables buyers to claim Input Tax Credit (ITC) via auto-populated GSTR-2A/2B.
- Facilitates transparency and tax reconciliation under GST.
- Due Date:
Filing Type Due Date Monthly 11th of next month Quarterly 13th of month following quarter - Penalty:
Type Penalty Late Filing Fee ₹50/day (₹25 CGST + ₹25 SGST) Nil Return ₹20/day (₹10 CGST + ₹10 SGST)
2. GSTR-3B
GSTR-3B is a summary return that must be filed monthly or quarterly by all regular registered taxpayers under GST. It captures outward and inward supply summaries, GST liability, and ITC claims.
- Purpose:
- To declare summary of sales and purchases.
- To compute and pay GST liability.
- Mandatory for claiming Input Tax Credit (ITC).
- Due Date:
Filing Frequency Due Date Monthly 20th of next month Quarterly (QRMP) 22nd or 24th of next month (depends on state) - Penalty:
Type Late Fee Normal Return ₹50/day (₹25 CGST + ₹25 SGST) Nil Return ₹20/day (₹10 CGST + ₹10 SGST)
3. GSTR-9
GSTR-9 is an annual return that must be filed by regular GST-registered taxpayers, summarizing all monthly/quarterly returns (GSTR-1 & GSTR-3B) filed during the financial year.
- Purpose:
- To provide consolidated summary of outward/inward supplies, ITC, taxes paid, and refunds.
- Ensures reconciliation with books of accounts.
- Acts as self-certification for annual compliance.
- Due Date: 31st December of the assessment year
- Penalty:
Type Late Fee Standard ₹200/day (₹100 CGST + ₹100 SGST) Maximum 0.25% of turnover in the State/UT
4. GSTR-9C
GSTR-9C is a reconciliation statement between GSTR-9 and audited financials, certified by a CA or Cost Accountant.
- Purpose:
- To reconcile differences between GSTR-9 and audited books.
- Acts as a self-certified audit to ensure declared GST is accurate.
- Due Date: 31st December of the assessment year
- Penalty:
- Same as GSTR-9: ₹200/day (₹100 CGST + ₹100 SGST)
- Maximum: 0.25% of turnover in the State/UT
- Department may issue notices for non-compliance or misreporting
Income Tax Compliance
Income tax compliance means timely and accurate fulfilment of obligations under the Income-tax Act, 1961, including return filing, TDS, advance tax, and reporting disclosures. Here's a complete guide to what’s required.
1. Income Tax Return
An Income Tax Return (ITR) is a form filed with the Income Tax Department of India to report income, expenses, taxes paid, deductions claimed, and other relevant tax details for a financial year (April to March).
- Purpose: Filing an ITR serves legal, financial, and compliance-related purposes for both individuals and businesses.
- Due Dates:
Person Applicable ITR Form Due Date (FY 2023-24) Individual/Proprietor (Audit Not Required) ITR-1 / ITR-3 / ITR-4 31st July Company / Firm (Audit Not Required) ITR-5 / ITR-6 31st July Company / Firm (Audit Required) ITR-5 / ITR-6 31st October Transfer Pricing Case ITR-6 + 3CEB 30th November - Penalty: ₹5000 (₹1000 if income < ₹5 lakh)
2. Tax Audit
A tax audit is an examination or review of accounts of any business or profession carried out by a Chartered Accountant (CA) to ensure compliance with the Income Tax Act, 1961.
- Purpose: Ensure accuracy, proper maintenance of books, reduce tax evasion, and support tax administration.
- Due Date: 31st October of the assessment year
- Penalty:
- Under Section 271B: 0.5% of turnover or ₹1,50,000 (whichever is lower)
- No penalty if a reasonable cause is proven
3. TDS Deposit
TDS deposit refers to the process of remitting tax deducted at source on payments like salary, rent, fees, etc., to the Central Government.
- Purpose: Compliance, accountability, and timely collection of taxes
- Due Dates: 7th of every next month (30th April for March deductions)
- Penalty: Interest @ 1.5% per month
4. TDS Return
TDS return is a quarterly statement filed by deductors to report details of tax deducted and deposited.
- Purpose: Ensures tax credit availability, compliance, and reconciliation
- Due Dates:
Quarter Period Due Date Q1 Apr – Jun 31st July 2024 Q2 Jul – Sep 31st October 2024 Q3 Oct – Dec 31st January 2025 Q4 Jan – Mar 31st May 2025 - Penalty: ₹200 per day (maximum up to the TDS amount)
5. Advance Tax
Advance Tax refers to income tax paid in installments during the financial year before the year ends. It follows a "pay-as-you-earn" system.
- Purpose: Streamlines tax collection and reduces year-end payment burden
- Due Dates:
Due Date Minimum Amount Payable 15th June 2024 15% of total tax liability 15th September 2024 45% of total tax liability (including earlier payment) 15th December 2024 75% of total tax liability (including earlier payment) 15th March 2025 100% of total tax liability - Penalty:
- Non-payment/shortfall in advance tax: 1% per month
- Delay in installment payment: 1% per month
ESIC / EPFO Compliance
1. ESIC Compliance
ESIC (Employees’ State Insurance Corporation) is a social security scheme under the Employees’ State Insurance Act, 1948, designed to provide medical, cash, maternity, disability, and dependent benefits to employees and their families.
- ESIC Contribution Rates:
Contributor Rate of Contribution Employer 3.25% of gross wages Employee 0.75% of gross wages - Due Dates for ESIC:
Particular Due Date ESIC Monthly Payment 15th of next month Half-Yearly ESI Returns 11th Nov & 11th May (approximate) Employee Registration Within 10 days of joining - Penalty:
- Late payment of contribution: Interest @ 12% p.a. for each day of delay
- Non-registration: Fine up to ₹5,000 plus prosecution
2. EPFO COMPLIANCE
EPFO (Employees’ Provident Fund Organization) is governed by the Employees’ Provident Funds and Miscellaneous Provisions Act, 1952. EPF is a social security scheme designed to ensure retirement savings and other financial benefits for employees.
- EPFO Contribution Rates:
Contributor Rate Contribution To Employer 8.33% NPS Employer 3.67% EPF Employee 12% EPF Total 24% - Due Dates for EPFO:
Particular Due Date PF Contribution Payment 15th of the next month ECR Filing (monthly PF return) On or before payment date Annual Return (Form 6A) 30th April (following FY) - Penalties:
Default Penalty / Interest Late payment of PF Interest @ 12% p.a. (simple interest) under Section 7Q Damages (penalty) for delay 5% to 100% depending on length of delay Failure to register Prosecution + penalty up to ₹5,000 False return / non-filing Fine + imprisonment
Accounting
Accounting compliance refers to adhering to the statutory requirements for maintaining books of accounts, financial statements, and related disclosures as per applicable laws such as the Companies Act, 2013, Income Tax Act, 1961, and Accounting Standards/IND AS.
Due date of accounting: Before AGM
Penalties: Fine of Rs. 50,000 to Rs. 5,00,000.
FAQs
Form ITR-5 is applicable for partnership firms
31st July – If audit is not applicable
31st October – If audit is applicable
Yes, if: Gross receipts exceed ₹1 crore (business) or ₹50 lakh (profession)
OR conditions under Section 44AB apply.
Yes. Partners must file their individual income tax returns showing their share of profit (which is exempt) and any remuneration or interest received from the firm.
Yes, if the firm deducts TDS under the Income Tax Act (e.g., on salaries, professional fees, rent), then quarterly TDS returns (Form 24Q/26Q) must be filed.
Partnership deed, PAN of firm and partners, Financial statements, Bank statements, GST and TDS data (if applicable), Tax audit report (if required).
Yes, under Section 44AD (business) or 44ADA (profession), a firm can opt for presumptive taxation if eligible, and may be exempt from audit.
Our Clients
Our Services
Registration
Legal Services
Digital Marketing
Search Engine Optimization Social Media Optimization Pay per click Email Marketing Content Marketing Reputation Management Conversion Rate Optimization Digital Consultancy Video Marketing
© startupgroww.in. All Rights Reserved.
Disclaimer: We are a private consulting firm and are not affiliated with any government authority. Our team provides professional assistance to help businesses register with the Ministry of Corporate Affairs (MCA). All services are offered independently and transparently.