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It Is Difficult to Tell Whether the Corporate Income Tax

Question 19

Multiple Choice

It is difficult to tell whether the corporate income tax is progressive or regressive because


A) the income of stockholders is generally not known.
B) dividends are often paid out to pension funds.
C) the corporation may be able to pass on the tax by charging a higher price.
D) dividends are not taxed.
E) it may be offset by the personal income tax.

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