Mr$.$ Gbeho is a bookkeeper for a local auto repair company. Several years ago, Mr$.$ Gbeho began to prepare federal income tax returns for friends and relatives and has developed this sideline into a profitable business. Which of the following statements is false?

Multiple Choice

Mr$.$ Gbeho is compensated for preparing returns and considered an income tax return preparer. Therefore, Mr$.$ Gbeho is subject to federal penalties.

Mr$.$ Gbeho is not an attorney, CPA, or enrolled agent and is not considered an income tax return preparer.

Mr$.$ Gbeho must sign the tax returns prepared for all clients.

Mr$.$ Gbeho must provide clients with copies of their completed tax returns.