so did they ever determine if this was actually people targeting conservatives? or if it was just conservatives being dumb enough to apply for nonprof status for their "groups"?
so did they ever determine if this was actually people targeting conservatives? or if it was just conservatives being dumb enough to apply for nonprof status for their "groups"?
I can't seem to find it now but I seem to recall something along the lines of the IRS "scrutinized" something like 300 groups, 80 some of which were tea-bagger affiliated.
I can't seem to find it now but I seem to recall something along the lines of the IRS "scrutinized" something like 300 groups, 80 some of which were tea-bagger affiliated.
WASHINGTON — Internal Revenue Service agents in Cincinnati used additional "inappropriate" lists to flag certain tax-exempt applications for extra scrutiny, IRS Principal Deputy Commissioner Danny Werfel said Monday.
He declined to say what criteria or terms were on the additional watch lists, but congressional Democrats released a document showing that IRS agents targeted groups with "progressive" in their names. "Common thread is the word 'progressive,'" the November 2010 IRS document says. "Activities are partisan and appear as anti-Republican."
The IRS has acknowledged that the Cincinnati field office, which reviews all tax-exempt applications, used a "be on the lookout" list — or BOLO list — that included words such as "tea party" and "patriot" to determine which groups should be subject to heightened scrutiny.
Werfel said Monday that an internal IRS probe has turned up other, similar lists, which were in use by tax-exempt screeners when he took over as IRS chief at the end of May. He suggested they cast a wide net. The Associated Press said that besides ''progressive," lists used by screeners to pick groups for close examination included the terms ''Israel'' and ''Occupy.'' The AP said an investigation into why specific terms were included was underway.
"There were a series of these types of lists being used in this part of the IRS as part of their review of tax-exempt applications," Werfel said in a conference call with reporters. "We believe there continued to be inappropriate or questionable criteria on these BOLO lists."
He said it would "be premature to get into specifics," but "there was a wide-ranging set of categories and cases that spanned a broad spectrum."
Werfel said he had ordered a halt to "the use of any 'be on the lookout' lists" in the review of tax-exempt applications. He said the IRS was working to redact personal data from key documents relating to the BOLO lists so additional information could be turned over to key congressional panels investigating the IRS scandal.
"I want to get to the bottom of this, and I want this information out ... as quickly as possible, so we can air these issues," he said.
Werfel's revelations came as the IRS released a 53-page interim report on the agency's handling of tax-exempt applications. He said the IRS' inquiry has "shed further light" on leadership failures that led to the scandal and allowed the targeting to continue for so long.
"Several key leaders, including some in the commissioner's office, failed in multiple capacities," the IRS report states. Top IRS officials failed to "identify, prevent, address and disclose" the unfair targeting of conservative groups.
The IRS scandal erupted last month, after an inspector general's audit found that Cincinnati-based IRS employees developed and implemented "inappropriate criteria" — using terms such as "tea party," "patriot" and "9/12" — as triggers that sent those applications into a lengthy, burdensome review process.
The IG audit said that of 298 organizations given extra scrutiny, about 96 were Tea Party groups. The report did not specify why the other 202 applications were singled out.
The November 2010 IRS document, released by Democrats on the House Ways and Means Committee, shows an entry titled "progressive" and advises agents that such groups' activities "appear to lean toward a new political party" and may not be eligible for tax-exempt status.
In a news release, the Ways and Means Committee Democrats said they have verified that some of the 298 organizations examined by the inspector general were liberal organizations. Michigan Rep. Sandy Levin, the top Democrat on the panel, said he would ask the IG why that information was omitted from his initial report and ask for a new hearing on the issue.
"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," Levin said.
Since the revelations became public in mid-May, the Justice Department has launched a criminal investigation and three congressional committees have seized on the IRS targeting of conservative groups, questioning Washington and Cincinnati employees.
Werfel said the IRS review has not turned up any "evidence of intentional wrongdoing" inside the agency, nor any involvement by "anyone outside" the agency. He noted that the agency's review — as well as other investigations of the targeting — is ongoing.
He said he briefed President Obama and Treasury Secretary Jack Lew on the interim audit Monday before its release. He noted that in light of the findings, the IRS has installed "new leadership" in five top posts at the agency.
Werfel replaced Steven Miller, who had served as acting IRS commissioner but was forced to resign amid the controversy over IRS targeting of Tea Party groups.
Other personnel changes include the replacement of Lois Lerner, who served as director of the IRS exempt organizations division but was placed on paid leave, and Joseph Grant, who resigned as commissioner of the agency's tax-exempt and government entities division.
Werfel declined to talk about specific individuals at the IRS or say what disciplinary actions had been taken against any IRS employees, citing privacy restrictions.
Werfel is scheduled to testify before the House Ways and Means Committee about the interim report Thursday. The GOP chairman of that panel, Rep. Dave Camp of Michigan, said the IRS still needed to answer key questions about the scandal and enact "real reforms" to prevent it from happening again.
"Though the IRS report details some immediate first steps that have been taken to correct management flaws at the agency, the IRS still needs to provide clear answers to the most significant questions — who started this practice, why was it allowed to continue for so long and how widespread was it?" Camp said. "This culture of political discrimination and intimidation goes far beyond basic management failure, and personnel changes alone won't fix a broken IRS."
Werfel said the IRS was moving quickly to correct flaws that led to the inappropriate targeting and improve its tax-exempt review process. The agency has created an "accountability review board," which will recommend additional personnel actions "to ensure there is appropriate accountability" for the targeting, according to the report. And the agency is working to establish a procedure in which the criteria and methods used to screen tax-exempt applications will be assessed periodically to ensure they do not run afoul of IRS policies.
The IRS has set up a voluntary process for groups that have been waiting for tax-exempt status for more than 120 days to "self-certify" that they will comply with key rules limiting their political activity. Such groups have to agree that they will not spend more than 40% of their time or money on political campaign activities. In exchange, they can win automatic tax-exempt status.
Werfel said the agency can always review these groups' activities afterward, to make sure they are in compliance.
Lois Lerner, the IRS’s director of tax-exempt organizations who is overseeing the investigation, says many schools are rethinking how and what they report to the government. Receiving a thick questionnaire from the IRS, she says, is a “behavior changer.”
This site uses cookies to help personalise content, tailor your experience and to keep you logged in if you register.
By continuing to use this site, you are consenting to our use of cookies.