Which of the Following Is Not a Preparer Penalty

question 29

Multiple Choice

Which of the following is not a preparer penalty?

• A)Tax preparers may be assessed a penalty for failing to give the taxpayer the preparer's workpapers.
• B)Tax preparers may be assessed a penalty for failing to keep a copy of the prepared return.
• C)Tax preparers may be assessed a penalty for endorsing or cashing a refund check issued to a taxpayer.
• D)Tax preparers may be assessed a penalty for failing to sign a tax return.

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Definitions:

Open-Market Operations

Purchases and sales of government securities by the Fed in an effort to influence the money supply.

Government Securities

Government securities are financial instruments issued by a government to raise funds from investors, promising to pay back the borrowed amount with interest, including bonds, treasury bills, and notes.

Fed's Purchase

The buying of securities or assets by the Federal Reserve to inject money into the banking system and stimulate economic activity.

Political Pressure

The exertion of influence by individuals or groups to achieve certain actions or policies from government or other authority figures.