Which of the Following Statements Concerning Taxation Is Accurate

question 116

Multiple Choice

Which of the following statements concerning taxation is accurate?

• A) Partnerships pay provincial income taxes but not federal income taxes.
• B) Corporations pay federal income taxes but not provincial income taxes.
• C) Corporations pay federal and provincial income taxes.
• D) Income trusts pay federal and provincial income taxes.

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Definitions:

Corporate Employees

Individuals who work for a corporation and are often subject to its policies, benefits, and regulations.

Environmental Statutes

Laws enacted to protect the environment from pollution and to regulate natural resource usage.

Directors

People selected by the corporation's shareholders to supervise the administration and strategize decisions for the company.

Shareholder's Meeting

A gathering of a company's shareholders where important issues are discussed, and decisions are made about the company's affairs.