Proposed IRS Rule Change Splits Leaders of Key House Panel

Image: Proposed IRS Rule Change Splits Leaders of Key House Panel Rep. Dave Camp

Tuesday, 26 Nov 2013 09:02 PM

By Todd Beamon

Share:
  Comment  |
   Contact Us  |
  Print  
|  A   A  
  Copy Shortlink
Proposed changes in how the IRS evaluates the political activity of 501(c)(4) "social welfare" groups have split the top two members of the House Ways and Means Committee — and they represent the same state.

The committee chairman, Republican Rep. Dave Camp of Michigan, said on Tuesday that the Obama administration should not issue the new guidelines, Roll Call reports.

"This smacks of the administration trying to shut down potential critics," Camp said.

He was referring to those who have attacked the IRS for singling out tea party, conservative, and religious groups for special scrutiny in their applications for 501(c)(4) status.

The status allows the organizations to keep their donors private. Such groups spent "tens of millions" of dollars in the last election, Roll Call reports.

"There continues to be an ongoing investigation, with many documents yet to be uncovered, into how the IRS systematically targeted and abused conservative-leaning groups," Camp said, according to Roll Call.

"Before rushing forward with new rules, especially ones that appear to make it harder to engage in public debate, I would hope Treasury would let all the facts come out first — something they could achieve by fully cooperating with Congress in the investigation."

But the panel's ranking Democrat, Sandy Levin, who also represents the Wolverine State, called the proposed rules "a good first step," Roll Call reports.

"As we plainly saw in the investigations into the failings within the IRS tax-exempt division, the lack of clear guidance on defining and measuring political activities under current law led to mismanagement and delays in the processing of exemption applications from progressive and conservative organizations," Levin told Roll Call.

"The proposal for a 'candidate-related political activity' is a reasonable starting place, but the details will be important, for example, in an area as critical as voter registration drives," Levin said.

At issue is whether an organization may obtain tax-exempt status through promoting the "social welfare."

Political groups have loosely interpreted the IRS rules to participate in a wide range of political activities, ranging from educating voters to coaching potential candidates for office, Roll Call reports.

The proposed new guidelines, however, would bar organizations seeking the exempt status from "candidate-related political activity."

Levin called the work of 501(c)(4) groups "vital in communities across the country," adding that it was "important that there be clear guidelines between promoting social welfare and engaging in political activity for organizations seeking this tax exemption."

The Democrat said the proposed changes would help remove the "ambiguity" from the current IRS evaluation system, Roll Call reports.

Acknowledging that "gross mismanagement of the tax-exempt division" had occurred, Levin said clearer guidelines were needed to prevent future mistakes, Roll Call reports.

Related Stories:

© 2014 Newsmax. All rights reserved.

Share:
  Comment  |
   Contact Us  |
  Print  
  Copy Shortlink
Around the Web
Join the Newsmax Community
>> Register to share your comments with the community.
>> Login if you are already a member.
blog comments powered by Disqus
 
Email:
Retype Email:
Country
Zip Code:
 
Hot Topics
Follow Newsmax
Like us
on Facebook
Follow us
on Twitter
Add us
on Google Plus
Around the Web
You May Also Like

Chinese Editorial: US Soldiers 'Not Worth Anything'

Friday, 18 Apr 2014 13:51 PM

A Chinese editorial criticized the U.S. military, according to The Washington Times.  . . .

LIGNET: Putin Moving Toward Checkmate in Eastern Ukraine

Friday, 18 Apr 2014 13:32 PM

The four-power deal regarding Ukraine that concluded Thursday in Geneva gave hope to some for a de-escalation of the cri . . .

Trump Donates to Ted Cruz PAC

Friday, 18 Apr 2014 13:27 PM

Real estate mogul and entertainment personality Donald Trump gave $5,000 to Sen. Ted Cruz's leadership PAC in January, a . . .

Newsmax, Moneynews, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, NewsmaxWorld, NewsmaxHealth, are trademarks of Newsmax Media, Inc.

 
NEWSMAX.COM
America's News Page
©  Newsmax Media, Inc.
All Rights Reserved