Pension Plans Are Subject to Excess Contribution Penalties

Multiple Choice

Pension plans are subject to excess contribution penalties. Which of the following are correct:
I.There is an excess contribution penalty for IRAs or Roth IRAs that equal 6% of the amount in excess of $5,500 or the value of the individual's IRA whichever is less.
II.A 10% excess contribution penalty applies to IRAs and Roth IRAs.
​

A) Only statement I is correct.
B) Only statement II is correct.
C) Both statements are correct.
D) Neither statement is correct.