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As of November 2026, what is the maximum number of persons that a partnership carrying on business for gain may have under section 464 of the Companies Act, 2013 read with rule 10 of the Companies…

Question and options

As of November 2026, what is the maximum number of persons that a partnership carrying on business for gain may have under section 464 of the Companies Act, 2013 read with rule 10 of the Companies (Miscellaneous) Rules, 2014, unless it is registered as a company or formed under another law?

  1. Fifty persons

  2. One hundred persons

  3. Twenty persons

  4. Ten persons

Answer and explanation

Correct answer: A - Fifty persons

Section 464 of the Companies Act, 2013 lets the Central Government prescribe the maximum size of a partnership or association carrying on business for gain, up to a ceiling of one hundred, and rule 10 of the Companies (Miscellaneous) Rules, 2014 fixes it at fifty. One hundred is only the statutory ceiling on what may be prescribed, and twenty and ten were the old limits under the Companies Act, 1956.

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