Which of the following is not a condition for a 'One Person Company'?

The average annual turnover of 3 years exceeds ₹2 crores

The correct answer is option 3- The average annual turnover of 3 years exceeds ₹2 crores.

The average annual turnover of 3 years exceeds ₹2 crores is not a condition for a 'One Person Company'. OPC's average annual turnover of three years does not exceed Rs. 2 Crores.

One Person Company (OPC): Sec. 2 (62) of the companies Act, 2013, defines OPC as a “company which has only one person as a member”. Rule 3 of the Companies (Incorporation) Rules, 2014 provides that:
(a) Only a natural person being an Indian citizen and resident in India can form one person company,
(b) It cannot carry out non-banking financial investment activities.
(c) Its paid up share capital is not more than Rs. 50 Lakhs
(d) Its average annual turnover of three years does not exceed Rs. 2 Crores.