Tax & Accounting News

All Change for LLPs

09/10/2008

Limited liability partnerships (LLPs) are reminded of new regulations introduced under the Companies Act 2006 that took effect from 1 October 2008.

The changes, which come into effect for financial years beginning on or after 1 October 2008, include:

• increases in the SME thresholds
• an increased time limit for sending accounts to members 
• new provisions on auditors, including the signature of audit reports by a senior statutory auditor, strengthened rules on statements by those ceasing to be auditor, and more detailed disclosure on auditor remuneration.

For financial years starting on or after 6 April, 2008, unless an LLP is filing its first accounts, the time to deliver these to Companies House has reduced from ten months to nine.

First accounts for financial years starting after that date, and which cover a period of more than 12 months, must be submitted to Companies House within whichever is the longer of 21 months of the date of incorporation, rather than 22 months, or three months of the end of the accounting period.

To calculate the period for filing accounts, the period of months after a given date ends on the same date in the appropriate month. This means that a LLP with an accounting reference date of 8 April has until midnight on 8 January the following year to deliver its accounts.

If the accounting reference period is the last day of the month, the period for filing accounts ends on the last day of the appropriate month. An LLP with an accounting reference date of 30 April will have until midnight on 31 January the following year to submit accounts.

LLPs are also reminded that new penalties for the late filing of accounts will apply after 1 February 2009.