An S Corporation Shareholder's Allocable Share of Ordinary Business Income

question 81

True/False

An S corporation shareholder's allocable share of ordinary business income (loss)is classified as self-employment income for tax purposes.

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Definitions:

Imprinting

A form of rapid learning occurring at a particular life stage, where an animal forms an attachment to a certain object or organism.

Fixed-Action Pattern

A sequence of innate behaviors that is both unchangeable and, once initiated, carried to completion.

Learning

The process of acquiring new, or modifying existing, knowledge, behaviors, skills, values, or preferences through experience or education.

Nervous System

Organ system of humans that includes the brain, spinal cord, sense organs (eyes, ears, etc.), and associated nerves. Receives, integrates, and stores sensory input; coordinates activity of other organ systems.