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Tim is a lawyer earning a salary of $140,000. He wants to lower his taxes by investing in a qualified small business corporation so as

Tim is a lawyer earning a salary of $140,000. He wants to lower his taxes by investing in a qualified small business corporation so as to take advantage of the lifetime capital gains exemption. He intends to borrow $350,000 to invest in the business. What tax advantages will Tim realize by pursuing this strategy?

Question 21 options:

tax conversion

all of the above

tax deferral

tax avoidance

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