Question: George prepared a tax return for Susan. Susan told George that she made a cash charitable contribution of $5,550 to her church. George requested the

George prepared a tax return for Susan. Susan told George that she made a cash charitable contribution of $5,550 to her church. George requested the letter from the church acknowledging Susan's donation. Susan told George that she had the letter at home but forgot to bring it with her. Can George rely on Susan's statement and take the charitable deduction on her return without becoming liable for an understatement penalty?

a) Yes, George can rely on Susan's statement in good faith as reasonable grounds to take the deduction.

b) No, George must contact the church in order to independently verify the contribution.

c) No, George must see the actual letter from the church.

d) No, because Susan did not contribute that much last year.

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