Which person would generally be treated as a material participant in an activity?
A)A participant in a rental activity
B)A limited partner
C)An LLC member not involved with management of the LLC
D)A general partner

Question

Quizplus · Accepted Answer

A general partner is typically involved in the day-to-day operations of a partnership, making them a material participant in the activity. Limited partners, LLC members not involved in management, and participants in rental activities generally have less active roles, making them less likely to be considered material participants.

Which Person Would Generally Be Treated as a Material Participant