“Social welfare” organizations are not required to disclose the identity of their donors. However, the tax code clearly states that such organizations may not have political activity as their primary purpose. Consider Karl Rove’s Crossroads GPS. If you say you believe that political activity is not their primary purpose, please contact me about a magnificent bridge that I would love to sell you.
The Internal Revenue Service is signaling that it will increase its scrutiny of tax-exempt political organizations, which are becoming a force in elections by raising tens of millions of dollars from undisclosed donors.
The IRS has been corresponding with such groups and is preparing questions to ask them as part of effort to determine whether their fundraising or advertising work runs afoul of tax law. IRS spokesman Terry Lemons said on Thursday the scrutiny will affect a range of tax-exempt groups.
The move comes as such tax-exempt groups – many of which have better-known sister organizations known as "Super PACs," or political action committees – are under criticism from Democrats and some Republicans for using money from anonymous sources to try to influence elections.
Like Super PACs, tax-exempt political groups can raise and spend unlimited funds – in contrast to political campaigns, which may receive only $2,500 per donor each election cycle…
Inserted from <Reuters>
It’s about time! They are in violation of the tax code without doubt.
Because we withheld our patronage, we drove dozens of corporate sponsors away from ALEC, Rush Limbarf, Susan G Komen against Women, and other sponsors of Republican misanthropy. This is what the 1% fear and are trying to escape. As long as the 1% and corporate criminals can maintain anonymity, they deprive us of the freedom to vote with our dollars. What could be more hypocritical than the notion that corporations may speak with their billions, but we man not with our few dollars?
And while we’re on the subject, support the Disclose Act!