Passive activity loss limitation rules do not apply to
I.Publicly-held corporations.
II.Personal service corporations.

A)Only statement I is correct.
B)Only statement II is correct.
C)Both statements are correct.
D)Neither statement is correct.

Question

Passive activity loss limitation rules do not apply to
I.Publicly-held corporations.
II.Personal service corporations.
​
A)Only statement I is correct.
B)Only statement II is correct.
C)Both statements are correct.
D)Neither statement is correct.

Quizplus · Accepted Answer

Publicly-held corporations are not subject to passive activity loss limitations, whereas personal service corporations are subject to these rules.

Passive Activity Loss Limitation Rules Do Not Apply to