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Frank, a taxi driver, inadvertently fails to report approximately $1,200 of his tips received during the tax year. If the IRS imposes a penalty due
Frank, a taxi driver, inadvertently fails to report approximately $1,200 of his tips received during the tax year. If the IRS imposes a penalty due to the underreported income, it would most likely impose a penalty equal to A) 20% of the deficiency. B) 20% of the deficiency plus 50% of the interest. C) 75% of the deficiency. D) 50% of the deficiency
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