The Tax Advantage for Sole Proprietorships Does Not Last Forever

question 66

Multiple Choice

The tax advantage for sole proprietorships does not last forever.The businessperson must make money in order to be considered a business.Money must be made for how many years in order to be considered a business and not a hobby by the IRS?

• A) Two out of five years
• B) Three out of five years
• C) Four out of five years
• D) Four out of six years

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Definitions:

Dissolves Completely

A process by which a substance breaks down and integrates into a liquid, forming a uniform solution.

Potassium Chloride

An essential mineral supplement used to treat or prevent low levels of potassium in the blood.

Ml PO

An abbreviation often used in medical contexts to indicate a medication dose taken orally in milliliters.

Oral Solution

A liquid preparation containing one or more active ingredients dissolved, intended for oral administration.