Together, Kurt and Esmeralda own 60 percent of three corporations: RAZ, DVA, and TRE. The three corporations would be considered as what kind of controlled group for tax purposes?
A) Parent-subsidiary
B) Brother-sister
C) Combined
D) The three corporations would not be considered to be a controlled group for tax purposes.

Question

Quizplus · Accepted Answer

Because the three owners control all three corporations, the group of corporations forms a brother-sister controlled group (the corporations have the same "parents").

Together, Kurt and Esmeralda Own 60 Percent of Three Corporations