What does lineal descendant mean on the CPA exam?
Lineal descendant. A person in the direct downward line from an individual: child, grandchild, great-grandchild. The Sec. 267 family is only siblings, spouse, ancestors, and lineal descendants, so in-laws, nieces, nephews, and cousins fall outside it.
Defined against Sec. 267(c)(4).
Which CPA exam sections use lineal descendant?
Lineal descendant appears in the REG section of the CPA exam.
Related terms
- related person: A person close enough to the taxpayer that the Code distrusts the transaction: family, controlled entities, and certain fiduciaries.