ICAI LLP Financial Statements Format
By Sudheer Lokanadham, Chartered Accountant · Updated 29/06/2026 · 7 min read
The ICAI LLP financial statements format is the presentation format prescribed by the ICAI Guidance Note on Financial Statements of Limited Liability Partnershipsfor an LLP's Balance Sheet and Statement of Profit and Loss. It follows the same current / non-current logic as Schedule III, but the funding side uses Partners' funds and the Statement of Profit and Loss carries a distinct Partners' remuneration line. It is recommendatory and applies from FY 2024-25.
LLP Balance Sheet format
I. Partners' funds and liabilities
- Partners' funds— (a) Partners' Capital Account: (i) Partners' Contribution, (ii) Partners' Current Account; (b) Reserves and surplus.
- Non-current liabilities — (a) Long-term borrowings; (b) Deferred tax liabilities (net); (c) Other long-term liabilities; (d) Long-term provisions.
- Current liabilities — (a) Short-term borrowings; (b) Trade payables; (c) Other current liabilities; (d) Short-term provisions.
II. Assets
- Non-current assets — (a) Property, Plant and Equipment and Intangible assets [(i) Property, Plant and Equipment; (ii) Intangible assets; (iii) Capital work-in-progress; (iv) Intangible assets under development]; (b) Non-current investments; (c) Deferred tax assets (net); (d) Long-term loans and advances; (e) Other non-current assets.
- Current assets — (a) Current investments; (b) Inventories; (c) Trade receivables; (d) Cash and bank balances; (e) Short-term loans and advances; (f) Other current assets.
LLP Statement of Profit and Loss format
The Statement of Profit and Loss is presented in this order:
| Ref | Line item |
|---|---|
| I | Revenue from operations |
| II | Other income |
| III | Total income (I + II) |
| IV | Expenses — cost of materials consumed; purchases of stock-in-trade; changes in inventories; employee benefits expense; depreciation and amortisation; finance cost; other expenses; total expenses |
| V | Profit before exceptional and extraordinary items, partners' remuneration and tax (III − IV) |
| VI–IX | Exceptional items, extraordinary items → Profit before partners' remuneration and tax |
| X | Partners' remuneration |
| XI | Profit before tax (IX − X) |
| XII | Tax expense — (i) current tax, (ii) deferred tax |
| XIII | Profit / (Loss) for the period |
How it differs from a company's Schedule III
- Funding head: “Partners' funds” instead of “Shareholders' funds”.
- Capital account: split into Partners' Contribution and Partners' Current Account, with the agreed contribution disclosed.
- Partners' remuneration: shown as a separate appropriation before profit before tax.
- Asset / liability classification and the notes discipline are otherwise the same as Schedule III.
Audit and filing
Every LLP must maintain books of account and file its annual Statement of Account and Solvency (Form 8) with the MCA. Audit is mandatory unless turnover does not exceed Rs 40 lakh and contribution does not exceed Rs 25 lakh in the financial year.
Related formats
Companies use the Schedule III balance sheet format; proprietorships, partnerships, trusts and similar bodies use the ICAI Non-Corporate Entity format.
Frequently asked questions
What is the ICAI LLP financial statements format?
It is the format prescribed in the ICAI Guidance Note on Financial Statements of Limited Liability Partnerships for presenting an LLP’s Balance Sheet and Statement of Profit and Loss. It mirrors the structure of Schedule III but replaces "Shareholders’ funds" with "Partners’ funds" and adds a "Partners’ remuneration" line in the Statement of Profit and Loss. It is recommendatory and applies from FY 2024-25.
How is the LLP balance sheet different from a company’s Schedule III balance sheet?
The asset and liability classification (current / non-current) is the same. The key difference is on the funding side: a company shows "Shareholders’ funds" (share capital and reserves), while an LLP shows "Partners’ funds" — the Partners’ Capital Account, split into Partners’ Contribution and Partners’ Current Account, plus Reserves and surplus.
Is an LLP required to get its accounts audited?
Under the LLP Act, 2008 and the LLP Rules, an LLP’s accounts must be audited unless its turnover does not exceed Rs 40 lakh in the financial year and its contribution does not exceed Rs 25 lakh. Every LLP must still maintain books of account and file its Statement of Account and Solvency (Form 8).
What is "Partners’ remuneration" in the LLP Statement of Profit and Loss?
The LLP format shows remuneration and interest to partners as a distinct line. Profit is first arrived at before partners’ remuneration and tax, then partners’ remuneration is deducted to reach profit before tax. This reflects that partner remuneration in an LLP is an appropriation governed by the LLP agreement.
When did the ICAI LLP format become applicable?
The ICAI Guidance Note prescribes the format for financial statements of LLPs effective from the financial year 2024-25.
Skip the manual formatting
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