Identify Which of the Following Statements Is True

Multiple Choice

Identify which of the following statements is true.

A) Shareholders who acquire stock in an S corporation after the election date and prior to the election's effective date must consent to the election.
B) S corporation consent by shareholders is binding on the current tax year and all future tax years.
C) Only shareholders who own stock on the date an S election takes effect must consent to the election.
D) All of the above are false.