5. Indicate whether the following statements are true or false:

_____ A field audit by the IRS is an audit conducted at the IRS field office.

_____ A low Discriminant Function System score for a tax return increases the possibility that the return will be selected for audit.

_____ The IRS charges interest on underpayments of taxes, but never pays interest on amounts of overpayments of taxes.

_____ If a taxpayer fails to file a tax return on its due date, he or she may be subject to a failure-to-file penalty.

_____ The tax law includes a penalty for preparing a tax return in a negligent manner.

_____ If a taxpayer fails to file a tax return, the IRS may impose both the failure to file penalty and the fraud penalty.