In regard to choosing a tax year for a business owned by individuals, which form of business provides the greater number of options in regard to the tax year?
A)A C corporation formed by medical doctors to conduct their practice.
B)A C corporation that is in the retail grocery business.
C)A real estate partnership.
D)An S corporation engaged in manufacturing.
E)All of these have the same options.

Question

Quizplus · Accepted Answer

C corporations, like the one in the retail grocery business, have more flexibility in choosing their tax year compared to partnerships and S corporations, which generally must use the calendar year unless they meet specific exceptions.

In Regard to Choosing a Tax Year for a Business