Question

True or false: Contributions of cash and property to a corporation in exchange for shares of the corporations stock can be tax deferred.

Answer 1

True

Step-by-step explanation:

According to the United States of America Code, under section 351, which basically deals with the transfer to a corporation controlled by the transferor, it is TRUE that contributions of cash and property to a corporation in exchange for shares of the corporation stock can be tax-deferred.

Hence, it can be concluded that the correct answer to this question is definitely TRUE.