How Often Does Congress Amend the Internal Revenue Code

question 81

Multiple Choice

How often does Congress amend the Internal Revenue Code?

• A) Rarely (the Internal Revenue Code has not been amended since 1986)
• B) Occasionally (perhaps once every decade)
• C) Regularly (at least once every five years)
• D) Constantly (at least once a year)

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Definitions:

Market Value

The ongoing rate at which one can buy or sell a service or asset in an unregulated market.

Cost of Equity

The rate of return required by a company's shareholders for investing in the company, representing the compensation for the risk undertaken.

Cost of Debt

The actual rate at which a corporation incurs cost on its present liabilities, assessable before or after tax deductions.

Tax Rate

The quantified percentage of an individual’s or corporation’s income that is taken as tax.