Final answer:
The tax preparer can avoid a penalty if the tax position has at least a reasonable basis, which means it is supported by tax authorities and relevant authorities.
Step-by-step explanation:
The tax preparer can avoid a penalty if the tax position has at least a reasonable basis.
A reasonable basis refers to if the tax position is supported by tax authorities and other relevant authorities. This means that the tax preparer needs to have valid legal and factual support for the position taken.
For example, if a tax preparer takes a tax position based on a well-established court decision, a ruling by the IRS, or a tax regulation, the position would have a reasonable basis and can help avoid penalties.