Which of the following statements is false regarding a general partnership?

A) It is easy to create.
B) Income of the business is personal income.
C) Business losses can be deducted from taxes.
D) The partners are considered agents of the partnership.
E) In most cases partners do not have personal liability for losses.

General Partnership

A partnership in which the partners divide profits and management responsibility and share unlimited personal liability for the partnership’s debts.

Business Losses

Business losses are the negative financial impacts a business suffers, often reflected in its financial statements as expenses exceeding revenues.

Personal Liability

The legal responsibility of an individual to fulfill obligations or debts out of their own assets.