Which of the Following Taxpayers Is Subject to the Excess

question 60

Multiple Choice

Which of the following taxpayers is subject to the excess business loss limitation?

• A) Delta Corporation, which incurred a $(2 million) business loss this year.
• B) Kenny, who is married filing a joint return and incurred a $(675,000) business loss this year.
• C) Linda, a single individual, who is a 50 percent partner in QT Partnership. This year, QT incurred a business loss of $(300,000).
• D) LetGo Partnership, which incurred a $(730,000) business loss this year.

---

Definitions:

Simple

Easily understood or done; presenting no difficulty, characterized by simplicity.

Lymph

A clear fluid that circulates in the lymphatic system, carrying immune cells and removing toxins and waste materials from bodily tissues.

Fibroblasts

Connective tissue cells that produce the fibers and the protein and carbohydrate complexes of the matrix of connective tissues.

Sweat Glands

Exocrine glands found in mammalian skin that secrete sweat, a fluid containing water and electrolytes, which helps regulate body temperature.