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Thursday, March 30, 2017

IRS Scandal Update

For John, BLUFSomeone needs to shake up the IRS.  Nothing to see here; just move along.

This was from yesterday.  And the TaxProf, Paul Caron, on his blog.

The TaxProf provides an extract from the Executive Summary (further extracted below) of Sensitive Case Reports:  The Hidden Cause of the IRS Targeting Scandal

Executive Summary: Beginning in February 2010, the Internal Revenue Service (“IRS’) singled out certain non-profit organizations for extra scrutiny when they applied for tax-exempt status. Numerous subsequent congressional investigations and media reports demonstrated that the targeting involved invasive questioning and years-long delays, and focused disproportionately on right-leaning groups, especially those with “Tea Party” in their name.  These reports, however, have almost entirely overlooked a hidden cause of the targeting scandal,which remains in effect today.  As a result, American taxpayers are at risk for similar treatment in the future.

Contrary to the conventional storyline, there exists an institutional policy that was the first impetus in prompting IRS employees to target groups based on their political viewpoints.  That policy is embodied in an internal IRS rule—which is still on the books—that singles out applications from any group interested in issues that might garner attention from either the media or Congress.  In such cases, the merits of the application are ignored as IRS employees develop “Senstive Case Reports” for consideration by those above them in the IRS hierarchy.  The result is a process that interferes with the unbiased review of applications for tax-exempt status designed to apply to all eligible organziations, regardless of their political viewpoints or affiliations.

Seven years after the targeting scandal began, the rule that enabled this inexcusable behavior still exists.

So, it appears we have been slow rolled for several years on this issue.  It is time for President Trump, or his recently confirmed Treasury Secretary, Steven Mnuchin, to take action.

Hat tip to the InstaPundit.

Regards  —  Cliff

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