Which of the following is not a barrier to income shifting among family members?

Question

Quizplus · Accepted Answer

Elimination of preferential tax rates would make income shifting less attractive, therefore, it is not a barrier to income shifting. B and C are barriers to income shifting as they tax children's unearned income at their parents' rates and prevent the assignment of income to lower-tax family members, respectively. Therefore, the correct answer is A.

Which of the Following Is Not a Barrier to Income