All of the Following Statements Are True About Gains Recognized

Multiple Choice

All of the following statements are true about gains recognized in a corporate reorganization except:

A) Taxable amounts in a reorganization are classified as a dividend or capital gain.
B) Corporate shareholders would prefer taxable amounts in a reorganization be classified as a capital gain.
C) Individuals are taxed at the same rate for dividends and capital gains.
D) Capital gains and dividend income can be totally eliminated in a corporate reorganization with careful tax planning.
E) All of the above statements are true.