Question

which of the following statements is true? question 15 options: there are no income-splitting opportunities when a business is run as a sole proprietorship. the basic rules for determining net business income are different for proprietorships and corporations. individual venturers can make different capital cost allowance (cca) claims against their share of joint venture revenues and expenses, while individual partners cannot make different cca claims against their net income from the partnership. a capital gains deduction may be claimed against a taxable capital gain that arises on the sale by an individual partner of his or her interest in the partnership.

Answer 1

The true statement is that individual venturers can make different CCA claims, unlike individual partners in a partnership.

Step-by-step explanation:

The true statement among the given options is that individual venturers can make different Capital Cost Allowance (CCA) claims against their share of joint venture revenues and expenses, while individual partners cannot make different CCA claims against their net income from the partnership. A sole proprietorship does indeed have limited income-splitting opportunities, and the basic rules for determining net business income are generally consistent across business structures. However, in a partnership, tax is paid by the partners on their share rather than at the business level, and a capital gains deduction may be claimed against a taxable capital gain on the sale of an individual partner's interest in the partnership.