Charitable Contributions Made by an S Corporation Are Not Deductible

question 58

True/False

Charitable contributions made by an S corporation are not deductible by the corporation; therefore, the shareholders receive no tax benefit from the contributions as itemized deductions.

---

Definitions:

Publicly Traded

Refers to a company whose shares are available for purchase by the general public on a stock exchange.

Registration Statement

A set of documents, including a prospectus, that a company must file with the U.S. Securities and Exchange Commission before offering securities to the public.

Securities Exchange Commission

The Securities and Exchange Commission (SEC) is a U.S. federal agency responsible for regulating the securities industry, enforcing federal securities laws, and ensuring public companies disclose their financial information.

Criminal Prosecution

The process whereby the state brings charges against an individual or entity for violating criminal law.