MCA Clarification : HUF cannot be a partner in firm
Ministry of Corporate Affairs, in response to clarification sought by ICAI, states that a Hindu Undivided Family (HUF) cannot become a partner in a partnership firm; MCA states that Karta or any other individual of the HUF can be a partner in his 'individual' capacity and not the HUF; Corporate Affairs Ministry relies on SC ruling in Rashiklal & Company vs CIT wherein it was observed that "HUF being a fluctuating body of individuals, cannot enter into partnership with other individuals partners"
Mr. Tejpal
Can you please provide further details in this matter viz.. text of clarification by MCA or other source document for reference and record other than General Circular No. 13/2013 and 02/2016.
Thanks in anticipation.
CAclubindia
