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Which of the Following Tax Law Changes Has Reduced the Incentive

Question 8

Multiple Choice

Which of the following tax law changes has reduced the incentive for individuals to lease to corporations as a part of the Tax Reform Act of 1986?


A) Depreciation lives were lengthened
B) The highest marginal tax rate for corporations is much lower than the highest marginal tax rate for individuals
C) Individuals are subject to limitations on "passive" losses used to offset other taxable income
D) Income from corporations are no longer double taxed

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