Douglas Shulman, IRS Chief, Says Tea Party Groups Not Being Targeted By Agency

WASHINGTON, DC - JANUARY 26: Internal Revenue Service Commissioner Douglas Shulman testifies before the Senate Homeland Security and Governmental Affairs Committee January 26, 2012 in Washington, DC. (Photo by Win McNamee/Getty Images)

WASHINGTON -- The Internal Revenue Service is not making it harder for tea party groups to attain tax-exempt status because of their political views, the agency's chief told Congress on Thursday.

Douglas H. Shulman, the IRS commissioner, was pressed on his agency's actions at a House hearing by a Republican congressman who said later that he was not satisfied and expected to hold future hearings on the subject.

Lawmakers from both parties have pressed the IRS to step up its scrutiny of tax-exempt groups in this year's elections, citing their ability to pump huge sums of money into political campaigns without having to disclose their donors.

Rep. Charles Boustany, R-La., told reporters that he has received numerous complaints from tea party organizations about their treatment by the IRS. He did not cite any specific evidence that the IRS is engaging in extraordinary political activity.

"We have an obligation to provide vigorous oversight over IRS actions and activities to ensure that nobody's constitutional rights are being infringed upon," said Boustany, who chairs the House Ways and Means' oversight subcommittee.

Several of the conservative groups have accused the agency of frustrating their attempts to become tax exempt by sending them lengthy, intrusive questionnaires. The forms, which the groups have made available, seek information about group members' political activities, including details of their postings on social networking websites and about family members.

Shulman testified to Boustany's panel Thursday that the IRS routinely tries to determine whether groups seeking tax-exempt status qualify for it.

"As you know, we pride ourselves on being a non-political, non-partisan organization," Shulman said.

Many tea party groups are applying under section 501 (c) (4) of the federal tax code, which grants tax-exempt status as long as organizations are not primarily involved in activity that could influence an election. That determination is up to the IRS.

"There's absolutely no targeting. This is the kind of back and forth that happens to people" who apply for tax-exempt status, Shulman said.

Comments

[Mig15]

08:53 AM on 03/23/2012

The IRS should review the tax status of Media Matters. In a way I hope they don't. They are the best advertisement the GOP could possibly have. And it's free. Emm emm emm

[treasuredtrophie]

08:36 AM on 03/23/2012

Love to see the email with all the names Obama has sent over for audits. Rush, Beck all of Fox News, Newt, Mitt, Rick. Of course his people are the biggest cheaters.

[Brian Gilmer]

03:27 PM on 03/23/2012

This is not about tax returns this is about applications for tax exempt charitable organization status. The IRS should make sure that organizations that are charities are actual charities becuase in essence they distribute tax deduction for the IRS.

[whoissurprised]

10:00 PM on 03/22/2012

Obama will hire 16,000 more people to work for the IRS to come after you when you do NOT pay your portion of Obama's DEATH WISH BILL.

[rimartin177]

10:43 PM on 03/22/2012

You are too ignorant for words!

[terra33]

05:57 AM on 03/23/2012

Read the obamacare bill and see for yourself how it give the IRS more power. Or don't because ignorance is bliss.

[treasuredtrophie]

08:34 AM on 03/23/2012

Your so blind OB's new SS

[JTHoffman]

08:08 AM on 03/23/2012

Job security for federal employees.

[whoissurprised]

11:04 AM on 03/23/2012

Obama has triple deep employees to do just one job at the cost of 6 figure salary each at the expense of the US TAXPAYERS.

[David K Brown]

07:55 PM on 03/22/2012

These Republicans think that they should be treated as G'd's gift to the world and are above the law.
I have been doing Forms 1024 for all kinds of non-profits, including bone fide charities and prolitical organizations.
The IRS questions every possible aspect to be sure that the organization qualifies under the law and their annual Form 990's are scrutinized to be sure their activities are kept within their tax exempt.
Someone has to check these things and check them closely. Tax cheats have used these organizations to evade taxes for years and the IRS is doing what they need to do to catch them.
.

[mgparrothead007]

11:35 PM on 03/22/2012

Well Obama needs to be investigated for all of his money coming in. Alot of it comes from George SOROS. And alot comes from all the failed Green Companies which was all a front.

[David K Brown]

02:29 AM on 03/23/2012

I assume you believe that his birth certificate is a forgery created by Hawaii public offiicals too.
Have you ever met George Soros? Have you given even 1,000th what he has to numerous charities.
How about Tom Hanks? He supports Obama.
You remind me of a lady in a retirement community that I once met that packed aluminum in her hat to stop the death rays that Martians were directing at her from Mars.

[terra33]

06:01 AM on 03/23/2012

A lot comes from taxpayers through public unions. We pay the salaries and union dues that are used in political campaigns for one party. The taxpayers nor the public sector worker has any choice where that money goes or to what political party.. That is unconstitutional.

[Boyabovegarage]

07:40 PM on 03/22/2012

Yeah right....and the Justice Department and the A.G. aren't "targetting" Arizona! Too funny, if it wasn't to keep a mismanaged idiot puppet in office.

[Brian Gilmer]

03:44 PM on 03/23/2012

Under a GOP President would the IRS be instructed to back off of TEA Party groups attempting to form non-profit organizations under 501(c)(4)?

[alhorvath]

07:33 PM on 03/22/2012

LIAR!

[mo524]

07:27 PM on 03/22/2012

Let me get this straight here you are a political group that claims you are not a political group well that makes sense if you don't think about it.

[ccsysglf]

08:32 PM on 03/22/2012

brilliant .. #61

[djeaninew1066]

07:18 PM on 03/22/2012

The IRS is acting with due diligence to heavily scrutinze any entity that requests a tax exempt status. I question why the Westboro Baptist Church of Topeka still has a tax exempt status when it is nothing more than a shill of a religion that promotes hatred and interfers with government (military) funerals. Then there is that lame family in Arkansas with 19 kids. I highly question them making their home a church. They should be stripped from any tax exempt status they have as well. In fact, maybe it is time that all religions be taxed especially the one that needs to be renamed Pedophiles R Us.

[mgparrothead007]

11:35 PM on 03/22/2012

What about Obamas old church in Chicago The Un American Satan worshippers.

[djeaninew1066]

11:51 PM on 03/22/2012

Works for me! If they can prove it is a front for a racist organization instead of a church, it needs to be stripped of the tax exemption.

[gochenaur8]

06:36 PM on 03/22/2012

Could it be that the tea party is afraid of what the IRS may also find out?

[Jan Rice]

10:37 PM on 03/22/2012

The Tea Party has nothing to hide....they are simply average law abiding citizens who want the govt to stay out of their business....and as far as the IRS saying they're not targeting them...why should we believe them? On what basis do we believe them? I sure don't!

[gochenaur8]

08:30 AM on 03/23/2012

Obama 2012

[Brian Gilmer]

03:36 PM on 03/23/2012

Believe them on the basis that it is the job of the IRS to do these types of investigations. There are charged by Congress to enforce the law and that is what they are doing. A good question is what took the IRS so long to act on the applications?

[terra33]

06:19 AM on 03/23/2012

The Tea Party wants politicians to be held accountable for their failures that caused the financial crisis and housing bubble that burst, massive over spending, massive debt they put every American taxpayer in. Did you ever wonder why we don't have a flat tax system and eliminate the IRS? Because then politicians and government would have less power over the people and corporations. The Tea Party is the only group trying to hold Congress accountable for bad decisions and bad laws the harm the people as well as the economy. The Tea Party were the first group to protest the bank bailouts and corporate welfare. I get so tied of the left media demonizing the Tea party who are concerned American citizens who are tired of paying for the mistakes of Congress.

[gochenaur8]

08:27 AM on 03/23/2012

If your trying to sell the Tea Party to me, no thank you, don't want any of them. Obama 2012

[Brian Gilmer]

03:38 PM on 03/23/2012

Get a clue. Even if the tax rate were flat there would still be a pile of regulation to determine what constitutes income. Look at how much of your Tax Return is taken up in calculating taxes and how much is take up calculating income and deductions.

[jestindam]

06:05 PM on 03/22/2012

Simply put, the rightwing mantra (if you have nothing to hide what's the problem) applies to the tea party complaining about intrusive questioning because they want a free pass to 501(c)4 exemption. How are they NOT trying to influence the outcome of an election when they clearly state their opposition to the president & the democratic party. Oh right! they're hiding behind the phrase "not primarily involved in activity that could influence an election". If you believe that I have a bridge to sell you. Sorry TP you lose.

[terra33]

06:35 AM on 03/23/2012

You are wrong about the Tea Party. They want Congress (both sides of the isle) to be held accountable for their bad decisions and laws the have gotten us into massive debt and crashed our economy. The Tea Party wants fiscal responsibility and balanced budgets. They were angry at Bush and now Obama. Obama is Bush on steroids. Both have the same destructive policies that are costing our children and grand children the American dream. How can you not see that? Both Obama and Bush had Keynesian stimulus that didn't work, both increased federal spending, both supported bailouts of politically connected friends, both increased regulation that hurt the economy, both support Fannie and Freddie's business practices that cause the housing bubble that burst, both support the same bad fed policy. All of congress are at fault and not one has taken responsibility for their failures. Every last one should be voted out of office. If you are so blind to not see the bigger the government has gotten the more destructive it is to the economy and the more corruption between politicians, special interest, lobbyist big business.

[rep9347]

11:57 AM on 03/23/2012

The Republican party has been running this country into the ground for decades. Now the Tea Party jons the band wagon.....If you really want to help, go after the K Street lobbyists. And pass taxation legislation to put the 1% into tax brackets that are appropriate to their income levels....

[jestindam]

05:22 PM on 03/23/2012

Dont think so terra, you laid out all the TP talking points but they dont hold much water. I dont remember the TP being vocal(holding rallies et.al) during bush's tenure dont even remember them existing except for ron paul's merry deluded band of followers. When bush kept the wars off budget,took president clinton's record surplus and turned it into a record deficit not a peep. You can spin all you want but the stimulus did work even with the obstructionist no party standing in the way. As to increased regulations, I suppose you'd much rather not have clean air to breathe uncontaminated food to eat etc. As to voting everybody out, never going to happen so many say that, as long as it does not apply to their rep. The answer is not smaller government, rather its a more effective government that does not have to spend all its time appeasing complainers and kissing up to the uber-wealthy for donations to run for office. Be careful when you accuse others of being blind, it could come back to bite you.

[cavilierbob]

06:01 PM on 03/22/2012

It's a known fact the teabaggers are on the same page with their gazillionaire friends. They try to pay as littlle taxes as possible.

[terra33]

06:40 AM on 03/23/2012

Oh please that is a sadly ignorant statement. Tea Party groups accross the Country are regular hard working people from all walks of life. If you don't believe me then go to a rally and see for yourself. Tell me why it is bad that American citizens want Washington to be held accountable for their failures, incompetence, abuse of our tax dollars, massive over spending and debt they have put every single citizen in? Please explain how the Tea Party groups are bad bad bad because they want responsible government?

[Brian Gilmer]

03:40 PM on 03/23/2012

Why use 501(c) which is for charities? The reason is so that the organizations don't have to disclose where the money is coming from. None of what you are asserting is consistent with a political organization claiming not to be political in order to hide the political activity of donors.

[wildbill654]

05:55 PM on 03/22/2012

I don't think that there is anything wrong with the IRS asking questions to determine tax status as long as all that apply get the same papers. What's in this blog are little more than vague accusations without any specifics. When the Supreme Count allowed the conditions for "super pacs" it paved the way for a myriad of conditions that could effect tax status - primarily lie a little bit and put the savings into your political agenda.

[terra33]

06:41 AM on 03/23/2012

I think we should abolish the IRS and have a flat tax no writes offs no tax returns.

[wildbill654]

03:06 PM on 03/23/2012

With you about 90%. I am an advocate of the flat tax, but getting rid of the IRS entirely would be a boo-boo. Somebody has to watch the store, but we could probably get rid of 70% of the present department. If you have ever actually seen the entire tax code it's easy to understand. I have and the book is larger than an unabridged dictionary. A flat tax is dreamworld and we will never see it as long as the PAC's and lobbiests run Congress.

[Brian Gilmer]

03:42 PM on 03/23/2012

There would still be non-profits. And there would still be a need for the IRS to determine if an organiation is indeed a non-profit.

[canoeal]

05:53 PM on 03/22/2012

A big Yea Right...We believe you...

[mastheader1]

05:48 PM on 03/22/2012

Well if you think the teabaggers arnt trying to influince the election , you must be birther !!

[Azpoliticalanimal]

05:47 PM on 03/22/2012

The Tea Party is about nothing but influencing elections, they should not qualify as a 501(c)4.

[terra33]

06:43 AM on 03/23/2012

The Tea Party is about influencing fiscal responsibility. WOW that is a novel concept for our politicians.