Question: The small business deduction (SBD) is an important deduction. Which of the following statements is INCORRECT in regard to the small business deduction? a. The

The small business deduction (SBD) is an important deduction. Which of the following statements is INCORRECT in regard to the small business deduction?

a. The SBD is calculated using the least of Taxable Income, Active Business Income, or annual business limit.

b. SBD is only available to Canadian controlled private corporations.

c. The SBD is a deduction in computing Taxable Income.

d. The SBD is a deduction in computing federal tax payable.

e. The rate is fixed at certain percentage for federal tax purposes.

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