Identify Which of the Following Statements Is True

question 49

Multiple Choice

Identify which of the following statements is true.

• A)Long-term capital gains may be subject to double taxation if the gains are subject to both the excess net passive income tax rules and the built-in gains tax rules.
• B)Special allocations of ordinary income or loss and separately stated items that are available for partnerships are also permitted with S corporations.
• C)When an S corporation's shares are sold by a shareholder during a tax year, the transferee's share of the earnings is reported from the day after the transfer date through the end of the tax year.
• D)All of the above are false.

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Definitions:

Immediate Gratification

The desire to experience pleasure or fulfillment without delay or deferment, often at the expense of longer-term goals.

Millennials

A demographic cohort following Generation X, typically defined as people born from the early 1980s to the mid-1990s or early 2000s, known for their comfort with technology and digital communications.

Multitasking

The practice of handling more than one task simultaneously or switching between tasks quickly, often affecting efficiency and performance.

Offshoring

The outsourcing of jobs to foreign locations.