The IRS Considers Sylvia to Be a Highly Compensated Employee

Multiple Choice

The IRS considers Sylvia to be a highly compensated employee for Beautiful Pictures,Inc.,which means that she met which one of the following criteria (assume that the previous year was 2015) ?

A) either a current annual salary of more than $170,000; and, in the previous year, a 5% owner or a 1% owner of the employer's business whose annual pay was greater than $150,000
B) either an annual salary of more than $170,000; or, in the previous year, a 5% owner or a 1% owner of the employer's business whose annual pay was greater than $150,000
C) an annual salary exceeding $50,000
D) an annual salary less than $170,000