$1$

$2$ points

The "double taxation" of corporate income refers to the taxation of corporate income at both the entity$-$level and the shareholder$-$level.

True

False

$2$

$2$ points

A distribution from a corporation to a shareholder will only be treated as a dividend for tax purposes if the distribution is paid out of current or accumulated earnings and profits.

True

False

$3$

$2$ points

A partnership must distribute cash when a partner is allocated income

True

False

$4$

$2$ points

Maria defers $$100$ of gain realized in a section $351$ transaction. The stock she receives in the exchange has a fair market value of $$500.$ Maria's tax basis in the stock will be $$400.$

True

False