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View Diary: Abbreviated Pundit Round-up: New IRS charges by conservatives don't measure up (161 comments)

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  •  We did complain about it (0+ / 0-)

    and several prominent Democrats and Obama have come out against the actions of a few low level employees in the IRS, and Obama would like to take steps to see it doesn't happen again. But the House is too busy holding hearings to worry about legislation to try and prevent this from happening again.
    Do you remember that happening to the IRS while Bush was president?
    The real scandal is that there are blatantly political organizations on both sides taking advantage of a rather vague law to avoid paying taxes:

    Unfortunately, given the way this I.R.S. scandal slid so easily into ideological definitions, I fear that few non-politicos are recognizing the real disgrace here: that the federal government—Congress, the White House, the tax agency, and the Supreme Court—has created a situation where blatantly political organizations are able to legally break the law by pretending they’re something that they’re not.

    The key to this obscene state of affairs is an entity known as a 501(c)(4), named for the section of the tax code that created it. Supposedly, these are civic associations or organizations devoted to social welfare, which can operate tax-free, but whose donors aren’t allowed to deduct their contributions. Fair enough.

    But then comes the loopholes that politicos have used to drive not only a truck through the intention of the law but a whole fleet. Unlike a wholly charitable organization, a 501(c)(4) can engage in political activities, so long as it is not its primary purpose. In other words, I could form an organization that spends 49.99999 percent of its time, energy, and money on politics and still be deemed tax exempt. In other words, you, me—every American citizen—can be providing a tax subsidy to groups that (theoretically) are spending almost half of their money on politics. It’s worse than that. Under the law, a 501(c)(4) can spend an unlimited amount of money on lobbying, so long as it is related to its “primary purpose.” So, in truth, an organization can be fully political under any rational interpretation of the meaning of that word, yet be deemed not to be primarily political under the law.

    “We are not a nation that says ‘don’t ask, don’t tell.’ We are a nation that says ‘out of many, we are one.’” -Barack Obama

    by skohayes on Sat May 18, 2013 at 06:45:49 AM PDT

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    •  The POTUS is doing a good job on the IRS issue (0+ / 0-)

      I think you will see at least two more senior managers resign this next week. Lois Lerner, Director of Exempt Organizations, has retained William Taylor III, a high profile criminal defense attorney. The other is Holly Paz, the Director of Rulings and Agreements. Because these are career civil servants they are entitled to due process. However, I believe you will see them make deals to resign in return for immunity from criminal prosecution and retention of the federal benefits they have vested.  

      "let's talk about that"

      by VClib on Sat May 18, 2013 at 09:53:45 PM PDT

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