Section 211(d) of the act provides that the terms “partnership” and “partner” shall have the same meaning as when used in the Internal Revenue Code (IRC). The
IRC does not define the term “partnership”, but simply states (sec.171) that the term “includes a syndicate, group, pool, joint venture, or other unincorporated organization
through or by means of which any business,financial operation or venture is carried
on and which is not a corporation or a trust or estate”.
A partnership may exist for Social Security purposes even if the individuals do not
operate under a formal partnership agreement or are not partners under State law,
or even if forbidden under the laws of a particular State.