IRS 'Examination' of NAACP Exempt Status Based on Criticism of Bush Policies On Oct. 28 the National Association for the Advancement of Colored People (NAACP) announced that the Internal Revenue Service (IRS) is investigating their tax-exempt status because Chairman Julian Bond criticized the Bush administration's policies in his speech to the group's July convention. The NAACP is a 501(c)(3) organization, and as such is barred from intervening in elections. The nation's oldest and largest civil rights organization questioned the timing of the IRS action, calling it a politically motivated attempt to silence the organization and discourage blacks from voting. The IRS denied political motivation. Click here to send a letter to Mark Iverson, head of the IRS