Question $9(2$ points$)$

Suit$-$Up Corporation is subject to double taxation. The first layer of tax is where the

corporation must pay income taxes at the federal level. The second layer of taxation

is

where the corporation must pay state income taxes.

when the shareholder receives retained earnings and must report them as

income on their personal income taxes.

when the shareholder receives dividends and must report them as income on

their personal income taxes.

where the corporation must pay state sales taxes.