Which of the Following Is an Example of the Income

Multiple Choice

Which of the following is an example of the income shifting strategy?

A) A high tax rate taxpayer investing in tax exempt municipal bonds.
B) A corporation paying its owner a $20,000 salary.
C) A cash-basis business delaying billing its customers until after year end.
D) A corporation paying its shareholders a $20,000 dividend.
E) None of the choices are correct.