Identify Which of the Following Statements Is False

question 59

Multiple Choice

Identify which of the following statements is false.

• A)Liquidating distributions made to minority shareholders in the tax-free liquidation of a controlled subsidiary corporation are treated by the liquidating corporation in the same way as nonliquidating distributions.
• B)Sec. 337(a)provides that the liquidating corporation recognizes no gain or loss on the distribution of property to the 80% distributee in a complete Sec. 332 liquidation.
• C)The depreciation recapture provisions in Secs. 1245 and 1250 override the Sec. 337(a)nonrecognition rule if a controlled subsidiary corporation is liquidated into its parent corporation.
• D)A corporation that distributes the stock of a subsidiary may elect to treat the distribution as a sale of the subsidiary's assets.

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Definitions:

Arrange Tab

A feature or section within software, particularly graphic design or document editing applications, that allows users to organize and manage elements such as images or layers.

Horizontal Space

The spacing or distance between elements or components in a user interface, document, or layout, measured along the horizontal axis.

Toggle Button

A graphical user interface element that allows users to switch between two states, such as on/off or true/false, with a single click.

Report Controls

Tools and features within report-building software that allow users to manipulate how data is presented and interacted with in reports.