Mr and Mrs Williams Are the Sole Shareholders of Lessing

Mr and Mrs Williams are the sole shareholders of Lessing, Inc., a regular corporation. Last year, Lessing employed the Williams' son and paid him a $50,000 salary. During a recent IRS audit, the revenue agent discovered that the son rarely shows up for work and spends most of his time playing golf. Which of the following statements is true?

A) The IRS can treat the $50,000 payment as a constructive dividend to the son.
B) The IRS can treat the $50,000 payment as a constructive dividend to Mr. and Mrs Williams.
C) The IRS can disallow Lessing's $50,000 deduction for the son's salary.
D) The IRS can treat the $50,000 payment as a constructive dividend to Mr. and Mrs Williams and can disallow Lessing's $50,000 deduction for the son's salary.