Multiple Choice
Which of the following statements is true regarding compensation paid to an owner of an entity taxed as a partnership who works for the entity?
A) The compensation is deductible by the entity.
B) The compensation is self-employment income to the owner-worker.
C) The entity is not required to withhold FICA tax on the compensation it pays to the owner.
D) All of the choices are correct.
Correct Answer:
Verified
Correct Answer:
Verified
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