Which of the Following Is an Incorrect Statement Regarding the Application

question 43

Multiple Choice

Which of the following is an incorrect statement regarding the application of the § 318 stock attribution rules?

• A) An individual is not deemed to own the shares owned by his or her siblings.
• B) Stock owned by an estate is deemed to be owned in full by a beneficiary.
• C) Stock owned by any shareholder owning 50% or more of a corporation's stock is deemed to be owned in full by the corporation.
• D) Stock owned by a partnership is deemed to be owned proportionately by a partner.
• E) None of these.