Identify Which of the Following Statements Is False

question 24

Multiple Choice

Identify which of the following statements is false.

• A) The fraud penalty can be imposed with respect to income, gift, and estate tax returns.
• B) If fraud is asserted in a tax transaction, the burden of proof falls on the IRS.
• C) The government must prove its case "beyond a reasonable doubt" in order for the court or jury to convict a taxpayer of criminal fraud.
• D) The civil fraud penalty consists of 75% of the tax underpayment attributable to fraud plus 25% of the interest payable on the portion of the underpayment resulting from the fraud.

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Definitions:

Deregulation

The removal of most or even all of the government regulation and laws designed to supervise an industry. Sometimes undertaken to combat regulatory capture.

Industrial Regulation

Government policies aimed at regulating the operations of industries to prevent unfair practices and ensure competition.

Net Benefits

The total benefits of some activity or policy less the total costs of that activity or policy.

Price-Fixing

An agreement among competitors to raise, fix, or otherwise maintain the price at which their goods or services are sold, preventing market competition.