No penalty shall be imposed under this section with respect to any failure if it is shown that such failure is due to reasonable cause.
26 U.S. Code § 6725 - Failure to report information under section 4101
(a) In general
(b) Failures subject to penaltyFor purposes of subsection (a), the failures described in this subsection are—
any failure to make a report under section 4101(d) on or before the date prescribed therefor, and
(c) Reasonable cause exception
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