Q. While computing audit limit for LLP interest income is to be considered for computing Rs. 40 Lakh Threshold Limit ?

Question

In this case LLP have spare funds which has been invested in FDR's so interest income arose ? Whether this interet to be added in other business receipts to compute threshold limit of audit ?   Business receipts : Rs. 3850000 and Interest income is Rs. 250000. Whether audit is required under LLP Act of not?

Answer 1

No, in this case there would be no requirement of audit under the LLP act as the turnover is not exceeding 40 lakhs.