The shareholders of an S corporation all have limited liability with respect to their ownership interests in the corporation,whereas only limited partners in a limited partnership have limited liability with respect to their ownership interests in a partnership.

Question

Quizplus · Accepted Answer

The statement is true with respect to S corporate shareholders and to the limited partners in a limited partnership.Note,however,for a limited partnership,the general partners have unlimited liability.

The Shareholders of an S Corporation All Have Limited Liability