Which of the Following Entities Can Provide Fringe Benefits to Owner/employees

question 54

Multiple Choice

Which of the following entities can provide fringe benefits to owner/employees that are not taxable to the owner/employee?
I.Sole proprietorships
II.S corporations
III.Partnerships
IV.Corporations
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• A)Statements I and II are correct.
• B)Statements II, III and IV are correct.
• C)Statements II and IV are correct.
• D)Only statement IV is correct.
• E)Statements I and III are correct.

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Definitions:

Endothelium

The thin layer of cells that lines the interior surface of blood vessels and lymphatic vessels.

Liver

Large, dark red internal organ that produces urea and bile, detoxifies the blood, stores glycogen, and produces the plasma proteins, among other functions.

Bovine Growth Hormone

A hormone naturally produced by cattle's pituitary glands, and its synthetic form is used to increase milk production.

Cows

Domesticated bovine animals, typically females, raised for their milk, meat, and as draft animals.