Since the partners share in the firm’s profits, there is typically no need to pay interest on capital contributions made by the partners. If the partners decide that Section 13(c) interest on capital is to be paid, only profits may be used to pay the interest.
The firm may occasionally require additional funding above and beyond the capital contributed by the partners. According to Section 13(d), if a partner makes any payments or advances above the amount of capital he has committed to subscribe, he is entitled to interest on such amounts at a rate of 6% per year. If you want to be a judicial officer and are looking for RJS coaching in Jaipur, here, at Jyoti Judiciary we provide comprehensive study material to make your preparation solidified and topnotch. From preliminary mock tests, to mains answer writing sessions every material required for clearing the exam is provided. We have separate legal current affairs classes, legal general knowledge, current affairs classes all in one time enrolment. Hurry up.
