Question

By filling out the correct paperwork annually, any corporation can qualify to be classified as an S corporation.

a) True
b) False

Answer 1

Any corporation can qualify to be classified as an S corporation by filling out the correct paperwork annually.

Step-by-step explanation:

By filling out the correct paperwork annually, any corporation can qualify to be classified as an S corporation. This statement is true. An S corporation is a corporation that has elected a special tax status with the IRS to avoid double taxation. To qualify, the corporation must meet certain requirements, including having no more than 100 shareholders and being a domestic corporation.