If an S Corporation Never Operated as a C Corporation

question 12

True/False

If an S corporation never operated as a C corporation, it may earn passive investment income without fear of an involuntary S election termination.

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Definitions:

Hidden Curriculum

The unwritten, informal, and often unintended lessons, values, and perspectives that students learn in school.

Self-Fulfilling Prophecy

A belief or expectation that an individual or group holds, consciously or subconsciously, that manifests because it is believed.

Class Consciousness

Awareness of one's social class and its implications, often associated with a sense of collective interests and the struggle between different classes, particularly in Marxist theory.

Educational Capital

Refers to the accumulation of knowledge, skills, and qualifications that an individual obtains through their education, which can influence their social and economic opportunities.