In Order to Shift the Taxation of Dividend Income from a Parent

question 19

Multiple Choice

In order to shift the taxation of dividend income from a parent to a child

• A)the parent must direct the corporation to pay the dividend to the child.
• B)the parent must transfer ownership of the stock to the child.
• C)the parent can deposit the dividend in the child's bank account.
• D)all of the above will result in shifting the taxation to the child.

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Definitions:

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MRI

Magnetic Resonance Imaging, a diagnostic tool that uses powerful magnets and radio waves to create detailed images of the body's internal structures.

PET Scan

Positron Emission Tomography, a medical imaging technique that measures body functions, such as blood flow, oxygen use, and sugar metabolism, to help diagnose and track disease.

Lumbar Puncture

A medical procedure involving the insertion of a needle into the lower part of the spinal column to collect cerebrospinal fluid for diagnostic testing.