A group of Democratic members of Congress are calling on the Internal Revenue Service to investigate the national Christian conservative advocacy organization Family Research Council’s official status as an “association of churches.” ...READ THE FULL STORY FROM SOURCE ...READ THE FULL STORY FROM SOURCE
Reps. Jared Huffman of California and Suzan DelBene of Washington sent the letter on Tuesday, with 11 other lawmakers joining. The correspondence is addressed to U.S. Treasury Department Secretary Janet Yellen and IRS Commissioner Danny Werfel.
The Democrats conveyed “continued concerns about the tax-exempt status of certain organizations” such as the FRC, claiming that said groups “are self-identifying as ‘churches’ or ‘associations of churches’ to receive more favorable tax treatment than other tax-exempt organizations.”
“While we appreciate the IRS’s dedication to these matters, our concerns remain regarding transparency and the fair application of tax laws to all entities,” reads the letter, in part.
“Is existing IRS guidance sufficient to prevent abuse by organizations that self-identify as churches? What resources or statutory changes are necessary to ensure that the IRS can prevent organizations from exploiting tax-exempt church status to avoid public accountability and tax enforcement?”
The Washington, D.C. office of the Family Research Council, as photographed in 2015.
The Washington, D.C. office of the Family Research Council, as photographed in 2015. | Courtesy FRC
As a Section 501(c)(3) organization, the letter argues that FRC cannot “devote a substantial part of their activities to attempting to influence legislation” or “participate in, or intervene in, any political campaign on behalf of (or in opposition to) any candidate for public office.”
“FRC is one example of an alarming pattern of rightwing advocacy groups applying for and obtaining church status,” they claimed. “This is a claim that strains credulity: FRC does not hold religious services, does not have a congregation or affiliated congregations, and does not possess many of the other attributes of churches listed by the IRS.”
“Therefore, we reiterate our request for the IRS to review the status of tax-exempt organizations that have obtained church status, but do not satisfy the requirements of a church, integrated auxiliary, or convention or association of churches.”
The Christian Post reached out to the Family Research Council for this story. A response is pending.
In July 2022, ProPublica reported that FRC, founded in 1983 by prominent Evangelical leader James Dobson, filed an application with the IRS seeking reclassification as an “association of churches” in 2020. Under the Trump administration, the IRS approved the reclassification that summer.
ProPublica speculated that the reclassification was meant to reduce financial accountability, since it meant that the FRC “was no longer required to file a public tax return, known as a Form 990, revealing key staffer salaries, the names of board members and related organizations, large payments to independent contractors and grants the organization has made.”
“Unlike with other charities, IRS investigators can’t initiate an audit on a church unless a high-level Treasury Department official has approved the investigation,” continued the report.
Soon after the report was published, a group of Democratic representatives sent a letter to Yellen and IRS Commissioner Charles P. Rettig expressing concerns over the classification.
Rettig acknowledged their concerns in a letter sent on Nov. 3, 2022. The IRS official restated his commitment to making sure tax-exempt organizations comply with tax laws but stated that it “cannot disclose any actions we may take on this information.”
In the past, the FRC, now headed by Evangelical activist Tony Perkins, has denounced calls to investigate its status as an association of churches. Perkins told CP in 2022 that the status change was made because it “more accurately reflects our expanding ministry work.”
“Based upon a lengthy application process and audit of our activities, the IRS granted our status as an association of churches,” Perkins stated at the time, labeling the calls for investigation of his group “an egregious abuse of power.” “The Democratic Party’s attempts to silence religious organizations, with whom they disagree, will not stop with FRC.”.…For More READ THE FULL STORY▶▶