Multiple Choice
Which of the following statements is not true about redemptions?
A) Redemptions of Sec. 306 stock are generally treated as dividends to the shareholder.
B) A sale of stock from one controlled corporation to another controlled corporation is treated as a redemption.
C) Redemptions to pay death taxes are treated as dividends to the shareholder.
D) A distribution in redemption of stock is generally a dividend.
Correct Answer:
Verified
Correct Answer:
Verified
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