October 29, 2004
It appears that the IRS is going to be quite busy even after this election season. Reports have it that both the NAACP and the NEA are being audited and are at risk to lose their non-profit status. The reason?
To be tax-exempt as an organization described in IRC Section 501(c)(3) of the Code, an organization must be organized and operated exclusively for one or more of the purposes set forth in IRC Section 501(c)(3) and none of the earnings of the organization may inure to any private shareholder or individual. In addition, it may not attempt to influence legislation as a substantial part of its activities and it may not participate at all in campaign activity for or against political candidates. [Emphasis added]Any guesses as to which candidate these organizations supported and who they opposed?



