Explain the following$$ statement: A corporation may be liquidated for tax purposes even though dissolution has not occurred under state corporation law.

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Part $1$

A$.$

Many corporations retain their corporate charters to protect its corporate name from being acquired by another party.$$ However, these corporations adopt plans of liquidation.

B$.$

When a corporation liquidates it does not surrender its corporate charter for state$$ purposes, which is required for a full dissolution.

C$.$

The statement is not true. A dissolution must occur before the corporation can be liquidated for tax purposes.

D$.$

Both A and B$.$