Ans. This statement is True.
(i) According to the provisions of the Indian partnership Act 1932, registration of partnership firm is not compulsory but optional.
(ii) But, in order to get maximum benefits and to avoid unfavourable consequences or disputes among the partners themselves, partners and the outsiders, it is advisable that the firm should be registered with the Registrar of Partnership firms.
(iii) In Maharashtra, registration of Partnership firm is compulsory from April 1985.