The Internal Revenue Service has decided to award most nonprofit groups tax exemption status without being screened, Time reported Sunday.
IRS Commissioner John Koskinen told Time that about 80 percent of charitable groups seeking tax exemption will go through a simplified application process. Groups that report total assets lower than $250,000 and an income of less than $50,000 can pay a $400 fee and fill out a three-page form to automatically be eligible to receive tax-deductible donations.
Prior to the change, the application process involved a 26-page form, and required groups to provide supporting documentation and outline their intended activities to be considered for tax-exempt status.
The new process, which Koskinen said will result in “efficiencies [that] will translate into a faster and better review,” is expected to significantly reduce the screening process designed to prevent fraudulent activity on the part of political groups.
MORE: IRS Surrenders, Won't Check Whether Political Nonprofits Are Breaking The Law
ORIGINAL SOURCE: IRS to Rubber-Stamp Tax-Exempt Status for Most Charities - TIME
Still smells fishy to me.
IRS Commissioner John Koskinen told Time that about 80 percent of charitable groups seeking tax exemption will go through a simplified application process. Groups that report total assets lower than $250,000 and an income of less than $50,000 can pay a $400 fee and fill out a three-page form to automatically be eligible to receive tax-deductible donations.
Prior to the change, the application process involved a 26-page form, and required groups to provide supporting documentation and outline their intended activities to be considered for tax-exempt status.
The new process, which Koskinen said will result in “efficiencies [that] will translate into a faster and better review,” is expected to significantly reduce the screening process designed to prevent fraudulent activity on the part of political groups.
MORE: IRS Surrenders, Won't Check Whether Political Nonprofits Are Breaking The Law
ORIGINAL SOURCE: IRS to Rubber-Stamp Tax-Exempt Status for Most Charities - TIME
Still smells fishy to me.