Answered

At Westonci.ca, we connect you with experts who provide detailed answers to your most pressing questions. Start exploring now! Get quick and reliable solutions to your questions from a community of experienced professionals on our platform. Discover detailed answers to your questions from a wide network of experts on our comprehensive Q&A platform.

Which of the following situations does NOT describe a material participant?
A. Arabella participated in Activity X for 612 hours.
B. Anthony participated in Activity Y for 210 hours, more than any other individual.
C. Abbie participated in Activity A for 20 hours, Activity B for 80 hours and Activity C for 75 hours
D. Raj was a full-time employee at the law firm, Activity Q. from 2008 to 2018.

Sagot :

Tundexi

Answer:

C. Abbie participated in Activity A for 20 hours, Activity B for 80 hours and Activity C for 75 hours

Explanation:

To prove material participation, one of the following situation should be satisfied:

1. Work 500 hours or more during the year (Part A)

2. Participate in the activity for more than 100 hours during the year, with no one else working more than the individual (Part B)

3. Materially participate in the activity for any five taxable years during the 10 tax years immediately preceding the taxable year (Part D)

Hence, it can be concluded that none of the conditions are satisfied in Part C.

The correct answer is C.

To prove material participation, one of the below situations should be fulfilled:

  • Work 500 hours or more during the year (Part A) .
  • Participate in the activity for more than 100 hours during the year, with no one else working more than the individual (Part B)
  • Materially participate in the activity for any five taxable years during the 10 tax years immediately preceding the taxable year (Part D)

Hence, it can be concluded that none of the conditions are satisified in Part C.

Learn more: brainly.com/question/17429689

We appreciate your time on our site. Don't hesitate to return whenever you have more questions or need further clarification. We hope you found what you were looking for. Feel free to revisit us for more answers and updated information. Get the answers you need at Westonci.ca. Stay informed with our latest expert advice.