Identify Which of the Following Statements Is True

question 78

Multiple Choice

Identify which of the following statements is true.

• A)A tax-free spin-off coming under Sec. 355 occurs when a parent corporation distributes stock in a controlled subsidiary corporation in exchange for some of its own stock.
• B)Tax-free split-offs and spin-offs coming under Sec. 355 require the surrender of shareholder stock.
• C)When boot is received in a Sec. 355 spin-off transaction, the FMV of the boot will be a dividend to the extent of the shareholder's ratable share of the distributing corporation's E&P.
• D)All of the above are false.

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Definitions:

Query Design View

Interface in databases that allows users to create queries visually by selecting tables, fields, and criteria.

Query Results

The output produced after executing a query in a database management system, showing the data that matches the query criteria.

Query Design View

A graphical interface in database applications that enables users to create or modify queries through a visual representation of tables, fields, and joins.

Change Fields

The process of modifying the properties or data of database fields.