A Tax Practitioner Can Avoid IRS Penalty Relating to a Tax

question 87

Multiple Choice

A tax practitioner can avoid IRS penalty relating to a tax return position:

• A)if the position is frivolous and disclosed on the tax return.
• B)if the position has a realistic possibility of being sustained by the IRS or courts.
• C)if there is substantial authority to support the position.
• D)if the position has a reasonable basis and is not disclosed on the tax return.
• E)None of the choices are correct.

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Definitions:

Religious Doubts

Uncertainties or questioning of personal or established beliefs and practices related to religion.

Bizarre Dreams

Dreams that are strikingly strange or unconventional in their content or appearance.

Self-Confidence

A person's belief in their own abilities and judgment.

Strict Religious Views

Rigid adherence to the doctrines and practices of a religion, often leading to a conservative or orthodox lifestyle and mindset.