Write-Offs

In a new report, the Treasury Inspector General for Tax Administration says that the Internal Revenue Service opened examinations of 110 charities and churches in a review of the organizations’ activities during the 2004 election cycle. The IRS has revoked the tax exemptions of six of the organizations because the groups engaged in prohibited political activities. A copy of the report is available at http://www.treas.gov/tigta/auditreports/2009reports/200910080fr.pdf.

The Internal Revenue Service has released a fact sheet that explains the steps that tax-exempt organizations must follow to notify the government if they end their operations by shutting down, transferring their assets, or merging with another organization. The publication is available at http://www.irs.gov/pub/irs-pdf/p4779.pdf.