Identify which of the following statements is true.
A) To have a bona fide partial liquidation, a firm must continue to conduct a qualified trade or business, which it had conducted for a period of more than three years prior to the redemption.
B) To qualify as a partial liquidation, a distribution must result in a bona fide contraction of the corporate business at the corporate level.
C) A partial liquidation of a corporation must be pro rata.
D) All of the above are false.
B) To qualify as a partial liquidation, a distribution must result in a bona fide contraction of the corporate business at the corporate level.
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Fill in the blank(s) with the appropriate word(s).
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Indicate whether the statement is true or false