Which of the Following Statements,if Any,do Not Reflect the Rules

question 14

Multiple Choice

Which of the following statements,if any,do not reflect the rules governing the accuracy-related penalty for negligence?

• A)The penalty rate is 20%.
• B)The penalty is imposed only on the part of the deficiency attributable to negligence.
• C)The penalty applies to all Federal taxes, except when fraud is involved.
• D)The penalty is waived if the taxpayer uses Form 8275 to disclose a return position that is reasonable though contrary to the IRS position.
• E)None of the above is incorrect.