Which of the following corporations are Small business corporations (SBC) as defined in ITA 248 of the Income Tax Act a) A Ltd is a public corporation with 95 of the fair market value of its assets used in an active business carried on primarily in Canada b) B Ltd is a Canadian controlled private c...

ITA 2481 definition of Small Business Corporation A small business corporation SBC is defined in ITA ...

Which of the following corporations are Small business corporations (SBC) as defined in ITA 248 of the

Question:

Which of the following corporations are Small business corporations (SBC) as defined in ITA 248 of the Income Tax Act?
a) A Ltd. is a public with 95% of the fair market value of its assets used in an active business carried on primarily in Canada.
b) B Ltd. is a Canadian-controlled private with 60% of the fair market value of its assets used in an active business carried on in Canada. The remaining 40% is an investment in long-term bonds.
c) C Ltd. is a Canadian-controlled private with 80% of the fair market value of its assets used primarily in an active business carried on in Canada. The remaining 20% is term deposits.
d) D Ltd. is a Canadian-controlled private that owns one asset. The asset is a warehouse that is used by a related in carrying on its active business in Canada.
Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...