Which of the Following Statements Does Not Reflect the Rules

Which of the following statements does not reflect the rules governing the accuracy-related penalty for negligence?

A) The penalty rate is 20%.
B) The penalty applies whenever the taxpayer takes a return position that is contrary to a court decision.
C) The penalty applies when the taxpayer does not keep records adequate to compute the tax correctly.
D) The penalty is waived if the taxpayer uses Form 8275 to disclose a return position that is reasonable but contrary to the IRS position.