Identify Which of the Following Statements Is False

question 28

Multiple Choice

Identify which of the following statements is false.

• A)The personal exemption for a trust provides a tax savings when some income is allocated to principal.
• B)Distributable net income (DNI)sets the ceiling on the amount of distributions taxed to the beneficiaries.
• C)A complex trust must distribute all its income annually.
• D)The beneficiaries of a simple trust are taxed on their share of DNI irrespective of the amount they receive.

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Definitions:

Fair-Skinned

Having a lighter shade of skin which is more susceptible to damage from ultraviolet radiation compared to darker skin tones.

Atopic Dermatitis

A common chronic skin condition characterized by itchy, inflamed skin, also known as eczema.

Pruritus

The sensation of itchiness that prompts a person to scratch.

Decreasing Pain

The process or measures taken to reduce or alleviate discomfort and suffering in individuals.