Question
With regard to the definition of shares of a qualified small business corporation, which of the following statements is NOT true? A. At least 50%
With regard to the definition of shares of a qualified small business corporation, which of the following statements is NOT true?
A. At least 50% of the fair market value of the corporation's assets must be used in an active business carried on primarily in Canada; this criterion must be met for at least 24 months prior to disposition.
B. At least 90% of the fair market value of the small business corporation's assets must be used in an active business; this criterion must be met for at least 24 months prior to disposition.
C. At least 90% of the fair market value of the small business corporation's assets must be used in an active business-this criterion must be met at the point in time when the shares are sold.
D. The shares of the qualified small business corporation must be owned by the taxpayer or a related person for at least 24 months prior to disposition.
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