Which provision could best be justified as encouraging small business?
A)Section 1244 stock.
B)Percentage depletion.
C)Domestic production activities deduction.
D)Interest deduction on home mortgage.
E)None of the above.

Question

Quizplus · Accepted Answer

Section 1244 stock provides tax benefits to investors in small businesses by allowing them to deduct losses on the stock as ordinary losses rather than capital losses, which can encourage investment in small businesses.

Which Provision Could Best Be Justified as Encouraging Small Business