The IRS Considers Sylvia to Be a Highly Compensated Employee

question 33

Multiple Choice

The IRS considers Sylvia to be a highly compensated employee for Beautiful Pictures,Inc.,which means she has at least one of which of the following qualifications in the preceding year?

• A)1% owner in the top paid employee group
• B)5% owner in the top paid employee group
• C)made over $50,000
• D)made over $75,000

---

Definitions:

Private Property

A legal designation for the ownership of property by non-governmental legal entities, giving the owner exclusive rights over the use, disposal, and benefits of the property.

Federal Government

The federal government is the national government of a federated state, which holds the authority to govern the entire country and is responsible for areas such as defense, foreign policy, and interstate commerce.

Higher Education

A level of education beyond high school, including colleges, universities, and other post-secondary institutions.

Economic Stability

A state in which an economy experiences steady growth, low inflation, and low unemployment, leading to confidence in the financial system.