An S corporation shareholder's allocable share of business income that is determined to be from a passive activity is considered net investment income for purposes of the net investment income tax.

Question

Quizplus · Accepted Answer

This is true. A shareholder's allocable share of business income that is determined to be from a passive activity in an S corporation is considered net investment income for purposes of the net investment income tax.

An S Corporation Shareholder's Allocable Share of Business Income That