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Just a quick follow up: I went to the IRS service center and after a 4 hour wait, I was able to talk to an agent. She told me the same thing that it's not possible by law to remove a bad entry on line 76. Bummer. But she did waive the other penalties which offset the amount on line 76 which was a nice thing to do so I consider that a win for everyone.

Lesson learned - don't fill in line 76 unless you're damn sure that's what you want to do.
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