Which of the Following Statements Regarding the Process for Determining

question 6

Multiple Choice

Which of the following statements regarding the process for determining a partnership's tax year-end is True?

• A) Only the partners' profits interests are relevant when determining if a partnership has a majority interest taxable year.
• B) Under the principal partners test, a principal partner is defined as a partner having an interest of 3% or more in the profits or capital of the partnership.
• C) The least aggregate deferral test utilizes the partners' capital interests to measure the amount of aggregate deferral.
• D) A partnership is required to use a calendar year-end if it has a corporate partner.
• E) None of the choices are True.