Question 8

Claire and her business partner are starting a business this year, but they are uncertain as to which entity structure they will select. Which of the following is most accurate:

a) If the business is taxed as a C corporation, the income from the business will not be subject to federal income tax

b) If the business is taxed as an S corporation, the income from the business will be subject to double taxation at the federal level

c)If the business is taxed as a partnership, the partnership will not pay federal income tax but the partners may

d)All business entities are taxed the same None of the above

Question 9

Which of the following sources of tax law is enacted by Congress?

a)Internal Revenue Code

b)Case Law

c)Regulations

d)Google Search Results

e)None of the above

Question 10

Which of the following sources of tax law is issued by the Internal Revenue Service/Treasury Department?

a)Internal Revenue Code

b)Case Law

c)Regulations (Regs.)

d)Google Search Results

e)None of the above