Which of the following statements concerning taxation is accurate?
A) Partnerships pay provincial income taxes but not federal income taxes.
B) Corporations pay federal income taxes but not provincial income taxes.
C) Corporations pay federal and provincial income taxes.
D) Income trusts pay federal and provincial income taxes.

Question

Quizplus · Accepted Answer

Corporations are subject to both federal and provincial income taxes in many jurisdictions, including Canada and the United States. This dual level of taxation applies to the income earned by the corporation within the respective federal and provincial jurisdictions.

Which of the Following Statements Concerning Taxation Is Accurate