Audits for the mouthy, not the wealthy
by Guest Blogger, 11/3/2004
Conflict within a conflict: the IRS is going soft on industry; new evidence from TRAC reveals that IRS audits of corporations have declined below last year's record-low levels. In the wake of Enron and insert-your-own-favorite-corporate-scandal, the IRS actually promised to step up the pace.
They did step up the pace, but only after running off track. They apparently forgot that they were supposed to target dirty corporations doing the unthinkable out of a profit motive, not nonprofit organizations that are exercising their free speech rights to criticize the Bush administration's pattern of failure to serve the public interest. As the staff of OMB Watch's nonprofit advocacy team has discovered, unfortunately, the IRS's decision to audit the NAACP in retaliation for a statement in a board member's speech that criticized the administration's record is only the latest example of retaliatory audits that themselves are part of a larger series of attacks on nonprofit advocacy. Be sure to check out their report Continuing Attacks on Nonprofit Speech: Death By a Thousand Cuts II.
