Which of the Following Potentially Is a Disadvantage of Electing

Multiple Choice

Which of the following potentially is a disadvantage of electing to file a Federal consolidated corporate income tax return?

A) The § 1231 loss of one member is not offset against the § 1231 gain of another member of the group.
B) Recognition of losses from certain intercompany transactions is deferred.
C) The tax basis of investments in the stock of subsidiaries is unaffected by members contributing to consolidated taxable income.
D) All of the above are disadvantages of a consolidation election.