February 12, 1998 | Read Time: 1 minute
The Internal Revenue Service’s new plan to reorganize itself could strengthen charity regulation.
Charles O. Rossotti, the Commissioner of Internal Revenue, announced that he intends to modernize the service in part by consolidating much of its sprawling bureaucracy into four “operating units,” one of which would include the “tax-exempt sector” of charities, pension plans, and state and local governments.
Mr. Rossotti said he also plans to turn the I.R.S. into a “customer-oriented agency.”
James J. McGovern, a former top charity regulator at the I.R.S., said the plan, if implemented, could give a higher profile and more clout to financially strapped charity regulators who have always had to struggle with other I.R.S. offices for budget money.
What’s more, said Mr. McGovern, who now works for the accounting firm KPMG Peat Marwick, a new government emphasis on customer service could result in the I.R.S.’s churning out rulings and guidance to non-profit organizations and donors at a much quicker pace than it has in recent times.
