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Old 06-06-2013, 04:52 PM  
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IRS: Bureaucratic Blunder or Political Profiling



IRS: Bureaucratic Blunder or Political Profiling

The IRS has a known history of scandalous behavior. With Nixon, Johnson, Hoover, Kennedy, and the FBI using the IRS to intimidate their enemies, it's no surprise that people have their eye on the IRS. Now under President Obama, they're at it again, which begs the question: bureaucratic blunder or political profiling?

THE 501(c)(4) loophole

From no politics to some politics...

In 1913, congress granted tax-free status to non-profit groups that operate "exclusively for the promotion of social welfare" that donate their earnings "exclusively to charitable, educational, or recreational purposes." In other words, NO POLITICS.

In 1959, the IRS defined operating "exclusively for the promotion of social welfare" as "primarily engaged in promoting in some way the common good and general welfare of the people of the community." Go figure!

This opened the door for non-profits into politics as long as it wasn't the primary goal of the organization.

From no corporate money to unlimited corporate money...

In 2010, the Supreme Court's landmark "Citizens United" decision cleared the way for corporations and labor unions to raise and spend unlimited sums of money, and register for tax-exempt status as a 501(c)(4).

Now, for the first time, corporations, unions and associations can raise and spend unlimited amounts of money on politics... anonymously, and tax-free.

The Perfect Storm

The 501(c)(4) loophole + with Citizens United + The rise of the Tea Party + The budget cuts at the IRS = The Perfect Storm.

"We are doing as best we can with a staff of 14 that used to be a staff of 32"

Since 2002 the IRS budget has been cut 17%.
The IRS has lost 10,000 employees to attrition in just the past two years, or over 9% of its total workforce.
In 2010 alone, the code underwent 579 changes.
So, since 2010 there has been a huge influx of 501(c)(4) applications from conservative educational organizations that primarily focus on politics social welfare funded by anonymous concerned corporations citizens. The underfunded/understaffed liberal IRS flagged targeted political sounding conservative groups in order to stop fraud attack the President's enemies.

Liberal in WH + tax-free, anonymous, unlimited spending on (51% social welfare + 49% politics) = a whole lot of conservative applications taking advantage of a loophole.

Underfunded and understaffed, The IRS is tasked with determining if these groups are "primarily engaged" in social welfare or not (and they didn't fully understand the code themselves).

The IRS Blunder

So, 2 months after Citizens United, the IRS decided to start flagging politically sounding groups for further scrutiny. This was in anticipation of the extra burden brought on by the influx of faux conservative social welfare groups.

In an effort to save money, he said, the "safety valves" that had existed to move questionable or politically charged exemption applications to Washington were shut off, as part of "a rational allocation of scarce resources.

Flagging Criteria - taking referrals from the public, media, watchdog groups, and members of Congress, the IRS established various 'flags' to help weed out groups seeking to take advantage of the tax code:

March 2010 - "Tea Party, Patriots, 9/12, We the People, Take Back the Country"
July 2010 - "be on the lookout for Tea Party applications"
August 2010 - "various local organizations in the Tea Party movement"
July 2011 - "Organizations involved with political, lobbying, or advocacy"
January 2012 -"Political action type organizations involved in limiting/expanding government, educating on the constitution and bill of rights, social economic reform/movement"
May 2012 - "organizations with indicators of significant amounts of political campaign intervention (raising questions as to exempt purpose and/or excess private benefit)"
296 cases were flagged:

72 for "tea party"
13 for "patriot"
11 for "9/12"
200 for other reasons
91 had no indications of significant political campaign intervention.
205 had indications of significant political campaign intervention.
108 applications had been approved
28 were withdrawn by the applicant
160 cases were open (from 206 to 1,138 days)
No case has yet to be denied exemption. The only known 501(c)(4) applicant to recently have its status denied happens to be a progressive group: the Maine chapter of Emerge America, which trains Democratic women to run for office.

Red Tape

The IRS would then ask for Donor lists, volunteer lists, transcripts of speeches by their members, what their views towards Israel are, and lists of politicians the group has met with are demanded by the IRS or anything to determine "political engagement."

7 requests were deemed unnecessary:

Requests the names of donors.
Requests a list of all issues that are important to the organization and asks that the organization indicate its position regarding such issues.
Requests 1) the roles and activities of the audience and participants other than members in the activity and 2) the type of conversations and discussions members and participants had during the activity.
Asks whether the officer, director, etc., has run or will run for public office.
Requests the political affiliation of the officer, director, speakers, candidates supported, etc., or otherwise refers to the relationship with identified political party--related organizations.
Requests information regarding employment, other than for the organization, including hours worked.
Requests information regarding activities of another organization -- not just the relationship of the other organization to the applicant.
The application process, which normally takes 6 months, is extended up to 4 years or more.
The "organization" can still operate, they must however pay taxes.
DOUGLAS SHULMAN, Former U.S. Commissioner of Internal Revenue, and STEVEN MILLER, Former IRS Commissioner, claim ignorance and Lois Lerner, the head of the IRS division on tax-exempt organizations pleaded the fifth: "I have been advised by my counsel to assert my constitutional right not to testify or answer questions related to the subject manner of this hearing."

Makes one wonder what's really going on, especially given the...

IRS's Abusive History

Kennedy January 20, 1961 to November 22, 1963

Screened key appointees to the IRS for party and administration loyalty.
Released the Reuther memorandum, a 24 page document on how you plan to fight the radical right.......the memo said the administration shouldn't hesitate to sic the IRS on tax-exempt, right-wing organizations.
Launched audits on left of center organizations as cover.
Launched 22 "test audits" on right wing "extremist" organizations
Completed 75% of total organization audits on "extremist" right organizations.
Johnson November 22, 1963 to January 20, 1969

Persuaded then President Roosevelt not to audit the backers of his Congressional campaign.
Threatened businessmen with audits unless they contribute to his 1964 campaign.
Allegedly exchanged tax favors for votes.
Audited conservative groups, such as the American Enterprise Institute (AEI) and the Foundation for Economic Education, continue through the mid-1960s.
Nixon January 20, 1969 to August 9, 1974

Institute and use IRS "special services staff" to harass your political rivals with tax audits.
Nixon created a broad, systematic political use of the IRS, rather than use the agency on a case-by-case basis.
Nixon aides developed the notorious "enemies list" -- from political leaders to think tanks, reporters to entertainers -- so that they could be targeted by the IRS
Watergate Articles of Impeachment include charges of conspiring to use the IRS against political enemies.

The FBI

Has long used the IRS to intimidate and silence fringe groups.
Planned to "discredit" Klan networks by alleging their illegal non-disclosure of tax information.

Audited Martin Luther King Jr.'s non-profit, the Southern Christian Leadership Conference repeatedly to slow development.

Obtained tax information as leverage against Black Nationalists and Anti-Vietnam War organizations.
J. Edgar Hoover May 10, 1924 to March 22, 1935

Memo: "The New Left on many occasions viciously and scurrilously attacked the Director and the Bureau."

So, IRS harassment is used--starting the next day-- to "expose, disrupt, and otherwise neutralize" groups on the left.
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Old 06-10-2013, 02:08 PM   #61
vailpass vailpass is offline
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Originally Posted by Comrade Crapski View Post
It's really starting to get to you.

Good.

Own it, scumbag.

Bowe is one of the good guys here. Sharp and even handed. If you engage in sensible discourse with him you'll come out with more than when you went in.
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Old 06-10-2013, 02:13 PM   #62
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Originally Posted by vailpass View Post
Bowe is one of the good guys here. Sharp and even handed. If you engage in sensible discourse with him you'll come out with more than when you went in.
Sensible discourse with Bowe. I wouldn't say that exactly. He uses plenty of insults when it suits him.
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Old 06-10-2013, 02:15 PM   #63
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Originally Posted by BucEyedPea View Post
Sensible discourse with Bowe. I wouldn't say that exactly. He uses plenty of insults when it suits him.
I didn't say he was a candy ass.
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Old 06-10-2013, 02:25 PM   #64
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I didn't say he was a candy ass.
Well I didn't either—whatever that means. What I am saying is he can be downright nasty. Not sensible at all sometimes. So he has no right to criticize Comrade Crapski.
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Old 06-10-2013, 02:33 PM   #65
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in your dreams...

the only thing that's getting to me is how utterly pathetic your mini-rants are and how invested you are in your petty bullshit...

i'd almost say that you're entertaining but i don't want to give entertainers a bad name...
Who are you even talking to? Why do you keep quoting me? Nothing you say makes any sense.

You just sit there and spew verbal diahrea.

If idiots like you went after scumbag liars and criminals like Barry instead of running interference for them this country wouldn't have turned into a pile of shit.

You don't know a thing about me yet you hate me and try to character assassinate me every chance you get. Why? Because I'm critical of a sleazy politician from Chicongo?

Like I said, say all the stupid shit you want about me and call me all the names you want, anybody with any amount of integrity or sense of self worth and dignity can see what a piece of shit you truly are. And if they want to fall in line with your way of thinking, then they are garbage, too.

I don't lie to people, I don't go around digging up dirt on people trying to get them humiliated or thrown in jail. Thats what scumbags like you do, and the bastard you hero worship from Chicongo.
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Old 06-10-2013, 02:46 PM   #66
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Bowe is one of the good guys here. Sharp and even handed. If you engage in sensible discourse with him you'll come out with more than when you went in.
I don't want to engage in any discourse with him, sensible or otherwise.

He's mad at me because everything I've said about Barry is true. And he's done nothing but character assassinate me for it.

He should just shut his ****ing mouth or if he is going to address me, then apologize. Not continue to talk shit.

I can call every single one of these O-Bots a scumbag, because THATS WHAT THEY ARE.
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Old 06-10-2013, 09:41 PM   #67
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Quote:
Originally Posted by Comrade Crapski View Post
I don't want to engage in any discourse with him, sensible or otherwise.

He's mad at me because everything I've said about Barry is true. And he's done nothing but character assassinate me for it.

He should just shut his ****ing mouth or if he is going to address me, then apologize. Not continue to talk shit.

I can call every single one of these O-Bots a scumbag, because THATS WHAT THEY ARE.
apologize?

i'm not mad at you, i just think you're deluded and mean-spirited...

and i don't really care what you say about barry, he's not my dad...

as far as character assassination, you do a pretty good job of assassinating your character all by yourself...
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Old 06-11-2013, 05:31 AM   #68
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Who's the "lying ass bitch" now, Questlove?
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Old 06-17-2013, 12:49 PM   #69
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East German block snitches:

Amnorix
Kozmo20002
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BigRedAnus

What you're too stupid to understand is that any insult from you is really a compliment. Any compliment or agreement from you just makes me wonder what I'm missing or where I went wrong.
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Old 06-17-2013, 12:56 PM   #70
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What you're too stupid to understand is that any insult from you is really a compliment.
Sure it is, scumbag. That's why you sat on that post for ten days and stewed, trying to figure out a response that would make you look like anything but what you are, a statist stooge government collaborator who'd rat out his neighbor for another lick of Barry's ass.

Don't even talk to me you scumbag.
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Old 06-17-2013, 01:24 PM   #71
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Old 06-25-2013, 10:23 AM   #72
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From the New York Times today:

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Documents Show Liberals in I.R.S. Dragnet

By JONATHAN WEISMAN

WASHINGTON — The instructions that Internal Revenue Service officials used to look for applicants seeking tax-exempt status with “Tea Party” and “Patriots” in their titles also included groups whose names included the words “Progressive” and “Occupy,” according to I.R.S. documents released Monday.

The documents appeared to back up contentions by I.R.S. officials and some Democrats that the agency did not intend to single out conservative groups for special scrutiny. Instead, the documents say, officials were trying to use “key word” shortcuts to find overtly political organizations — both liberal and conservative — that were after tax favors by saying they were social welfare organizations.

But the practice appeared to go much farther than that. One such “be on the lookout” list included medical marijuana groups, organizations that were promoting President Obama’s health care law, and applications that dealt “with disputed territories in the Middle East.”

Taken together, the documents seem to change the terms of a scandal that exploded over accusations that the I.R.S. had tried to stifle a nascent conservative political movement. Instead, the dispute now revolves around questionable sorting tactics used by I.R.S. application screeners.

The acting I.R.S. commissioner, Daniel I. Werfel, formally ordered an end to all such “lookout” lists on Monday when he issued an assessment of the controversy that has led to harsh criticism of the nation’s tax collector.

Such lists were in use as recently as this month, when Mr. Werfel took over the agency, far longer than initially thought. I.R.S. officials said Monday that the more recent lists did not include the terms aimed at conservative groups.

Mr. Werfel on Monday also created an expedited process for groups to attain the tax-exempt status known as 501(c)(4). To qualify, groups must agree that no more than 40 percent of their expenditures and time can be spent on campaigns for candidates seeking public office. At least 60 percent of the groups’ time and expenses must be dedicated to social welfare activities.

The new I.R.S. documents raise questions about how the controversy has been portrayed. They confirm that the applications of “various local organizations in the Tea Party movement” were given special scrutiny. But so were “progressives.”

“Common thread is the word ‘progressive,’ ” a lookout list instructs. “Activities appear to lean toward a new political party. Activities are partisan and appear as anti-Republican.”

But groups with no political inclinations were also examined. “Open source software” organizations seeking nonprofit status “are usually for-profit business or for-profit support technicians of the software,” a lookout list warns. “If you see a case, elevate it to your manager.”

“Regional health information organizations” seeking nonprofit tax exemptions for their electronic health care data-collection efforts were sent to the same I.R.S. group sorting through the Tea Party applications.

Groups involved more generally in carrying out the Affordable Care Act were also sent to the I.R.S. for “secondary screening.”

And “occupied territory advocacy” seemed subject to the most scrutiny of all.

“Applications may be inflammatory, advocate a one-sided point of view, and promotional materials may signify propaganda,” according to instructions with a lookout list.

House Democrats seized on the documents to question why the Treasury inspector general, in the audit that began the scandal, omitted any mention of scrutiny that did not focus on conservatives. Democrats on the Ways and Means Committee demanded a second hearing with the inspector general, J. Russell George, to allow him to “explain the glaring omission in his audit report.”

“The audit served as the basis and impetus for a wide range of Congressional investigations, and this new information shows that the foundation of those investigations is flawed in a fundamental way,” said Representative Sander M. Levin of Michigan, the committee’s ranking Democrat.

Republicans said that I.R.S. scrutiny of conservatives went beyond delayed tax-exemption applications to other abuses, like the leaking of confidential information and inappropriate and intrusive questions.
http://www.nytimes.com/2013/06/25/us...politics&_r=1&
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Old 06-25-2013, 10:28 AM   #73
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The anti-smoking gun.
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Old 06-25-2013, 10:47 AM   #74
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The anti-smoking gun.
The daily spin
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Old 06-25-2013, 11:09 AM   #75
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Were they not just doing their jobs? Like literally? They claimed to be tax exempt, then listed themselves as tea party members/activists/organizations. A tax exempt cannot have political motivations, they did. Why would the IRS NOT look into them?

Could it be that the Democratic and Republican supporting not for profits were not stupid enough to list so much on their paperwork? No wonder they didn't invite investigation.

This whole thing is retarded and a waste of time.
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aturnis Forgot to Remove His Claytex and Got Toxic Shock Syndrome.aturnis Forgot to Remove His Claytex and Got Toxic Shock Syndrome.aturnis Forgot to Remove His Claytex and Got Toxic Shock Syndrome.aturnis Forgot to Remove His Claytex and Got Toxic Shock Syndrome.aturnis Forgot to Remove His Claytex and Got Toxic Shock Syndrome.aturnis Forgot to Remove His Claytex and Got Toxic Shock Syndrome.aturnis Forgot to Remove His Claytex and Got Toxic Shock Syndrome.aturnis Forgot to Remove His Claytex and Got Toxic Shock Syndrome.aturnis Forgot to Remove His Claytex and Got Toxic Shock Syndrome.aturnis Forgot to Remove His Claytex and Got Toxic Shock Syndrome.aturnis Forgot to Remove His Claytex and Got Toxic Shock Syndrome.
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