Free Republic
Browse · Search
News/Activism
Topics · Post Article

Skip to comments.

IRS problem started with vague tax exemption rules
The Los Angeles Times ^ | 5/16/2013 | Matea Gold, Washington Bureau, LA Times

Posted on 05/17/2013 4:38:51 AM PDT by Salgak

For former IRS staff and tax experts, the case confirms what they view as one of the agency's long-standing weaknesses: its inability to cope with the growing number of tax-exempt advocacy groups that appear to stretch the law to engage in politics.

With the IRS now under fire for its practices, campaign finance lawyers anticipate that the agency will shy away even more from regulating such organizations.

At the heart of the issue is the murky role occupied by nonprofit "social welfare" organizations, set up under Section 501(c)4 of the tax code, which are allowed under IRS regulations to engage in a certain amount of campaign activity, as long as politics is not their "primary" purpose. The groups pay no tax on the money they bring in. They can accept unlimited donations and, unlike political committees, can keep their contributors secret.

(Excerpt) Read more at latimes.com ...


TOPICS: Business/Economy; Government; News/Current Events; Politics/Elections
KEYWORDS: 501c4; conservatives; irs
Navigation: use the links below to view more comments.
first 1-2021-31 next last
So, NOW it's the fault of all those organizations putting in for status, and "bending the rules". Funny, that STILL doesn't explain why LIBERAL group applications flew right through, but Conservative group applications were stonewalled. . .
1 posted on 05/17/2013 4:38:51 AM PDT by Salgak
[ Post Reply | Private Reply | View Replies]

To: Salgak

And the lame liberal excuses just keep on comin’. I don’t suppose they feel that THEY have too many 501C’s out there!


2 posted on 05/17/2013 4:46:49 AM PDT by NRA1995 (I'd rather be a living "gun culture" member than a dead anti-gun candy-ass.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: NRA1995
Wow. That is more lame than I expected.

By Monday, this story will be treated as old news by the MSM probably

3 posted on 05/17/2013 4:48:00 AM PDT by GeronL (http://asspos.blogspot.com)
[ Post Reply | Private Reply | To 2 | View Replies]

To: Salgak

The ‘Progressives’ complained about Citizens United but all it did was level the playing field for conservatives. Liberal groups have always gotten away with illegal activities because they knew how to play the system. They can have their George Soros’ types and it’s perfectly alright.


4 posted on 05/17/2013 4:48:42 AM PDT by griswold3
[ Post Reply | Private Reply | To 1 | View Replies]

To: NRA1995

5 years from now...There are too many sick people...


5 posted on 05/17/2013 4:48:51 AM PDT by Gadsden1st
[ Post Reply | Private Reply | To 2 | View Replies]

To: Salgak
"There are too many conservative 'political' non-profits. . ."

There, fixed it.

6 posted on 05/17/2013 4:51:41 AM PDT by randita
[ Post Reply | Private Reply | To 1 | View Replies]

To: Salgak

What’s the big deal? “For profit” companies like G.E. pay nothing anyway!


7 posted on 05/17/2013 5:00:06 AM PDT by Road Warrior ‘04 (Molon Labe! (Oathkeeper))
[ Post Reply | Private Reply | To 1 | View Replies]

To: Bushbacker1

Oops! Forgot /S...


8 posted on 05/17/2013 5:00:40 AM PDT by Road Warrior ‘04 (Molon Labe! (Oathkeeper))
[ Post Reply | Private Reply | To 7 | View Replies]

To: Salgak

Organizations that began as projects of Tides Center include:[1]

Campaign to Defend the Constitution
Higher Education Recruitment Consortium
People for the American Way
Pew Internet and American Life Project
Rockridge Institute
Social Venture Network
Urgent Action Fund
V-Day
The Tides Foundation

Current projects of Tides Center include:[2]

Apollo Alliance
Center for Genetics and Society
Children’s Partnership
The Condom Project
Honor the Earth
StopGlobalWarming.org
The Opportunity Agenda
Traction


9 posted on 05/17/2013 5:04:50 AM PDT by bert ((K.E. N.P. N.C. +12 .....History is a process, not an event)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Salgak

To prevent duplication, please do not alter the published headline, thx.


10 posted on 05/17/2013 5:11:27 AM PDT by Sidebar Moderator
[ Post Reply | Private Reply | To 1 | View Replies]

To: Salgak

Putting aside the criminal actions and hypocrisy of the Left in this matter for a moment, I believe that the whole 501c structure to be completely unconstitutional. It either amounts to a federal government establishment of religion, which is forbidden by the First Amendment, or, a clear violation of equal protection. AX THE INCOME TAX and the problem is solved.


11 posted on 05/17/2013 5:12:25 AM PDT by EternalVigilance (Dismantle the IRS and the income tax. Impeach Obama. Problem solved.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Salgak

So irs idiotic government regulation that was the problem?

Hmmm... well lets just put your health care into the hands of the same people who wrote those idiotic rules.

What could go wrong?


12 posted on 05/17/2013 5:13:21 AM PDT by Mr. K (There are lies, damned lies, statistics, and democrat talking points.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Salgak

IRS writes the rules to implement the law that Congress writes. 501(c)4 has always seemed pretty clear to me ~ basically it’s GARBAGE


13 posted on 05/17/2013 5:13:30 AM PDT by muawiyah
[ Post Reply | Private Reply | To 1 | View Replies]

To: Salgak

The unions just pour money into Dem campaigns and rules and restrictions don’t come into play much.

Oh...and the IRS never asks them anything.


14 posted on 05/17/2013 5:15:48 AM PDT by G Larry (Darkness Hates the Light)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Bushbacker1

We have to be careful when complaining about big corporations like GE paying nothing.

Corporate earnign need to be accounted for and anything earned and not re-invested or ditributed to shareholders is sitting there waiting to be taxed

By design, corporations SHOULD have $0 “income” leftover to tax. Even large corporations- ESPEICALLY large corporations.

All that money should be re-invested or distributed to shareholders as income.


15 posted on 05/17/2013 5:16:46 AM PDT by Mr. K (There are lies, damned lies, statistics, and democrat talking points.)
[ Post Reply | Private Reply | To 7 | View Replies]

To: Salgak
Rubbish. Thhe IRS problem started with the 16th Amendment.

In 1913, the 16th Amendment gave the government the power to levy an income tax, and saddled the American people with the most burdensome, intrusive and abuse-prone revenue-generating system imaginable. (It bears noting that the federal income tax is a product of the same Progressive Era of American history that gave us Prohibition.)

Given that it was imposed by constitutional amendment, one cannot argue that the income tax is unconstitutional per se. But certainly, it is at odds with the spirit, if not the letter, of many of our most basic constitutional rights.

Consider that the income tax system has the following attributes:

 Notwithstanding our 5th Amendment rights against self-incrimination, as well as our 9th Amendment right to privacy (see Roe v. Wade), the government requires us to provide a tax return signed under penalty of perjury, in which we are obligated to provide detailed testimony regarding every aspect of our financial activities and relationships, legal or otherwise.

 Notwithstanding our 4th Amendment rights against search and seizure, any American citizen is subject at any time -- even in the complete absence of probable cause – to an intrusive federal audit in which the government has the unmitigated right to demand and search our private papers and financial records.

 Notwithstanding our 5th Amendment rights against seizure of our property without due process, the government can seize and hold our financial assets indefinitely without a trial.

 The complexity of the Tax Code generally requires that Americans hire professional advice, often at significant expense, to help ensure compliance.

 The Tax Code is so complex that its meaning is not always clear even to experts or employees of the federal government, and its enforcement may be subject to arbitrary interpretation by federal employees who may, in fact, disagree with each other.

 The income tax requires citizens to bear the burden of preparing, maintaining, storing and recovering voluminous sets of records over a period of years, where such records otherwise have no useful purpose except to assist the government in enforcing the tax code against the citizen.

 The Tax Code provides our federal legislators with a means of bestowing specifically targeted benefits on favored special interests.

16 posted on 05/17/2013 5:17:02 AM PDT by Maceman (Just say "NO" to tyranny.)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Salgak

IRS Official in Targeting Scandal Now Overseeing Obamacare Unit

Read Latest Breaking News from Newsmax.com http://www.newsmax.com/Newswidget/irs-scandal-official-obamacare/2013/05/16/id/504962?promo_code=EB8D-1&utm_source=National_Review&utm_medium=nmwidget&utm_campaign=widgetphase1#ixzz2TYIRiNfz
Urgent: Should Obamacare Be Repealed? Vote Here Now!

And the 60 MILLION MEDICAL records the IRS STOLE.
http://www.courthousenews.com/2013/03/14/55707.htm

But the UK Daily Mail has the story.

http://www.dailymail.co.uk/news/article-2324716/Document-IRS-ordered-conservative-educational-group-turn-list-high-school-college-students-trained.html

http://i.dailymail.co.uk/i/pix/2013/05_02/Linchpins%20of%20Liberty%20IRS%20letter.pdf


17 posted on 05/17/2013 5:27:12 AM PDT by GailA (THOSE WHO DON'T KEEP PROMISES TO THE MILITARY, WON'T KEEP THEM TO U!)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Salgak
Yes they are playing the game of shifting the blame around. But the truth is that the current system creates the opportunity for abuse. An impossibly complex tax code with ambiguous regulations coupled with an aggressive and relentless enforcement arm can be used to stomp on anyone. All you need is a morally bankrupt leftist (i.e. totalitarian at heart) administration and there you go.

If ever the case could be made for eliminating the current tax code and the IRS and replacing them with a simple flat tax which cannot be abused or used to oppress anyone it's now, while the abuses of the current situation are in everyone's eyes.

18 posted on 05/17/2013 5:29:02 AM PDT by pepsi_junkie (Who is John Galt?)
[ Post Reply | Private Reply | To 1 | View Replies]

To: Maceman
Hence the reason why we must begin to dismantle the IRS--first by going to Steve Forbes' flat tax to eliminate most of the IRS, and then replace the IRS with this:

To not only eliminate just about all of the IRS, but free up over US$400 BILLION per year now spent on income tax compliance for more productive purposes.

19 posted on 05/17/2013 5:29:47 AM PDT by RayChuang88 (FairTax: America's economic cure)
[ Post Reply | Private Reply | To 16 | View Replies]

To: Salgak

We call thank McStain’s campaign finance reform.


20 posted on 05/17/2013 5:32:45 AM PDT by I got the rope
[ Post Reply | Private Reply | To 1 | View Replies]


Navigation: use the links below to view more comments.
first 1-2021-31 next last

Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.

Free Republic
Browse · Search
News/Activism
Topics · Post Article

FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794
FreeRepublic.com is powered by software copyright 2000-2008 John Robinson