Which Statement Is CORRECT Regarding Commercial Tax Services

question 23

Multiple Choice

Which statement is CORRECT regarding commercial tax services?

• A)They provide free access toall primary source tax materials.
• B)They eliminate the need for reading primary tax law source materials.
• C)They act as an index for and explanation of primary tax law.
• D)All of these are correct.

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Definitions:

Section 16(a)

A provision often found in legal documents that specifies particular regulations or requirements, the exact meaning depends on the context of the document.

Statutory Insiders

Individuals or entities, such as directors, officers, or major shareholders, who have access to a company's internal information, making them subject to specific legal requirements and restrictions.

1934 Act

Refers to the Securities Exchange Act of 1934, a U.S. federal law that governs the trading of securities in the secondary market, establishes the Securities and Exchange Commission, and lays down rules for exchanges and broker-dealers.

Rule 506

A provision under Regulation D of the U.S. Securities Act, allowing companies to raise an unlimited amount of money without registering the securities with the SEC, under certain conditions.