Corona Company is owned equally by Maria, her sister Carlita, her mother Gabriella, and her grandmother Olivia, each of whom hold 100 shares in the company. Under the family attribution rules, how many shares of Corona stock is Maria deemed to own? A. 100 B. 200 C. 300 D. 400

B. 200

Explanation: Under the family attribution rule, Maria is treated as owning 200 shares but not that of her sister and grandmother. This is the sum of her shares (100 shares) and that of her mother (100 shares).

The attribution rules were created in order to prevent the creation of business ownership structures that are designed to avoid certain tax laws. The general rule include: that an individual’s owns what their spouse, children, parents, or grandchildren own; that there is no double attribution; that attribution continues to apply until there is an actual divorce or a legal separation etc.

better off having an absolute

(a) when insurance is obtained through a reciprocal insurer, the insureds are sharing the risk of loss with other subscribers of that reciprocal.

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