Which of the Following Statements About a Tax Deficiency Is

question 25

Multiple Choice

Which of the following statements about a tax deficiency is true?

• A)If a taxpayer is assessed a deficiency,the government will charge interest on the deficiency regardless of the reason for the deficiency.
• B)Individuals who pay interest on a tax deficiency can deduct it as an itemized deduction.
• C)Individuals who pay interest on a tax deficiency can deduct it as a business expense.
• D)Statements A.and B.are both true.

---

Definitions:

Congestion

A situation in transportation or network systems where demand exceeds capacity, resulting in delays and inefficiencies.

Motorist

An individual who operates a motor vehicle, such as a car or motorcycle.

Mumbai Dabbawalas

A lunchbox delivery and return system in Mumbai, India, renowned for its low-cost and high-efficiency operation.

Forward Logistics

The part of the supply chain process that involves moving products from the manufacturer to the final consumer, as opposed to reverse logistics which deals with returns.