Anyone who is abusing the tax code:
Originally Posted by Dickieboy
Federal law defines 501(c)4 groups as groups engaged exclusively in “social welfare” activities. The IRS, however, has allowed these 501(c)4 groups to venture into political activities as long as civic and charitable work remains their “primary purpose.” This loophole has caused a number of organizations heavily engaged in political work to organize themselves as 501(c)4 groups in order to gain tax-exempt status and shield their donors from the disclosure requirements that apply to more traditional political organizations.
The senators said the IRS should close this loophole by imposing a strict, percentage-based cap on the amount of a nonprofit group’s spending that can go towards political activities. Legal experts have proposed a cutoff of 49 percent to ensure that political activities never command more than half of a group’s total spending. But the senators said even this threshold would be too high and would permit more political work than any nonprofit group should be able to perform.