Steve Gifted Shares in a Public Corporation to His Fifteen-Year-Old

question 6

Multiple Choice

Steve gifted shares in a public corporation to his fifteen-year-old son, Simon. The ACB of the shares was $10,000. During the year, Simon received $500 in dividends from the shares. Simon then sold the shares for $12,000. Which of the following is true for Steve and Simon?

• A) Simon will have to claim the dividends and capital gain on his tax return.
• B)Steve will have to claim the dividends on his tax return and Simon will have to recognize the capital gain on his tax return.
• C) Steve will have to claim the dividends and a capital gain on his tax return.
• D) Simon will have to claim the dividends on his tax return and Steve will have to recognize the capital gain on his tax return.

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Definitions:

Group Therapy

A form of psychotherapy involving one or more therapists working with several individuals simultaneously in a group setting.

Ethnotherapy

A therapeutic approach that incorporates the client's cultural beliefs, practices, and experiences into the healing process.

Northern And Western European

Referring to countries located in the northern and western parts of Europe, often characterized by specific cultural, historical, and social attributes.

Individualism

The principle or social outlook that emphasizes the moral worth of the individual over the collective, often associated with independence and self-reliance.