IRS Official Expects Increased Illegal Political Activity by 501(c)(3) Organizations During 2008 Election

BNA Money and Politics ($$) reports that Lois Lerner, director of exempt organizations for the Internal Revenue Service (IRS), predicts that the number of tax-exempt organizations that will violate IRS rules for engaging in prohibited political activities will increase during the 2008 presidential campaign. During a panel discussion at the annual meeting of the Council on Governmental Ethics Laws (COGEL), Lerner commented that she hoped the number of actual violations would decline as IRS continues to try to educate people about the law's requirements. Despite this alarmist prediction and the increased number of complaints received from the 2006 election season, there was overall a low level of violations by 501(c)(3) organizations. "Despite such assurances from the government officials, private attorneys involved in the discussion noted that the campaign finance laws and tax laws regulating political activity continue to be unsettled and evolving in reaction to the decisions of regulatory agencies and the courts."
back to Blog