Which of the Following Is False Regarding a Section 83(b)election

question 30

Multiple Choice

Which of the following is false regarding a section 83(b) election?

• A)The election freezes the value of the employee's compensation as of the grant date.
• B)The election is an important tax-planning tool if the stock is expected to increase in value.
• C)The election must be made within 30 days of the grant date.
• D)If an employee leaves before the vesting date, any loss is limited to $3,000.

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Definitions:

Inflammatory Response

The body's defense mechanism against harmful stimuli such as pathogens, damaged cells, or irritants, resulting in redness, heat, swelling, and pain.

Sebum

An oily substance produced by the sebaceous glands that helps to keep the skin and hair moisturized.

Integumentary System

Organ system of humans that contains the skin, protects the body, synthesizes sensory input, assists in temperature regulation, and synthesizes vitamin D.

Acidic

Having a pH less than 7, characterized by the ability to donate protons or hydrogen ions.