Question
How is compensation for services provided by an owner reported? Choose the option that accurately describes what is required for the situation as described: A.
How is compensation for services provided by an owner reported? Choose the option that accurately describes what is required for the situation as described:
A. Jamil, a partner in ABC, will receive Form W2 from ABC reporting his compensation from the partnership.
B. Nyla, a 10% owner of a C corporation, will receive a 1099-DIV reporting her share of income from the corporation, including the income earned for her service.
C. Cruz, a sole proprietor, will receive Form 1099-NEC from his business reporting his compensation.
D. Lisa, a 10% owner in an S corporation, will receive Form W2 reporting her compensation from the S Corporation.
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