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Republican Leaders Urge Koskinen to Withdraw Proposed Social Welfare Group Regs

FEB. 5, 2014

Republican Leaders Urge Koskinen to Withdraw Proposed Social Welfare Group Regs

DATED FEB. 5, 2014
DOCUMENT ATTRIBUTES
  • Authors
    McConnell, Sen. Mitch
    Cornyn, Sen. John
    Thune, Sen. John
    Hatch, Sen. Orrin G.
    Shelby, Sen. Richard C.
    Boehner, Rep. John A.
    Cantor, Rep. Eric
    McCarthy, Rep. Kevin
    McMorris Rodgers, Rep. Cathy
    Camp, Rep. Dave
    Rogers, Rep. Harold
  • Institutional Authors
    Senate
    House of Representatives
  • Cross-Reference
    REG-134417-13 2013 TNT 229-11: IRS Proposed Regulations.
  • Code Sections
  • Subject Area/Tax Topics
  • Jurisdictions
  • Language
    English
  • Tax Analysts Document Number
    Doc 2014-2789
  • Tax Analysts Electronic Citation
    2014 TNT 26-21

 

February 6, 2014

 

 

"It is our view that finalizing this proposed rule would make intimidation and harassment of the administration's political opponents the official policy of the IRS and would allow the Obama Administration to use your agency as a partisan tool."

WASHINGTON, DC -- Members of the Congressional Republican leadership, along with Republican leaders of the Appropriations, Finance and Ways and Means Committees, today called on the new Commissioner of the IRS to abandon a proposed rule designed to muzzle the free speech rights of groups critical of the Obama administration.

"It is our view that finalizing this proposed rule would make intimidation and harassment of the administration's political opponents the official policy of the IRS and would allow the Obama Administration to use your agency as a partisan tool. This would be a serious error, especially in light of the recent track record of intimidation at the IRS. It would also cement your reputation as someone who is unable or unwilling to restore the public's faith in this important agency," according to the letter addressed to IRS Commissioner John Koskinen.

The letter was signed by House Speaker John Boehner, Senate Republican Leader Mitch McConnell, House Majority Leader Eric Cantor, House Majority Whip Kevin McCarthy, House Republican Conference Chair Cathy McMorris Rodgers, Senate Republican Whip John Cornyn, Senate Republican Conference Chairman John Thune, House Ways and Means Chairman Dave Camp, House Appropriations Committee Chairman Hal Rodgers, Senate Finance Committee ranking Republican Orrin Hatch and Senate Appropriations Committee ranking Republican Richard Shelby.

Referring to the IRS targeting of conservative groups in the run-up to the 2010 and 2012 elections, the lawmakers wrote that the proposed new rule continues the agency's targeting of First Amendment rights by these same grass-root conservative groups.

"This rule would redefine political activity so broadly that grass-roots groups all across the country will likely be forced to shut down simply for engaging in the kind of non-partisan educational activities" their tax designation was designed to support, the letter said. "In many cases, these are the same groups that were already victimized by the IRS's inappropriate targeting."

The top Republican lawmakers wrote that the proposed rule appears calculated to take effect just in time for the mid-term elections, giving a "strong appearance" of political motivation.

"This proposed rule is an affront to free speech itself," the letter said. "It poses a serious and undeniable threat to the ability of ordinary Americans to freely participate in the democratic process. That's why groups all along the political spectrum, from the ACLU to the Chamber of Commerce, and the citizens who support them, are increasingly concerned about its effect."

Noting that the recently confirmed IRS Commissioner John Koskinen inherited the proposed rule from his predecessor, the letter said that Koskinen now faces a choice of either withdrawing the proposed rule or allowing the Obama Administration "to use the agency as a means to infringe on the constitutionally protected right to free speech."

"One of the reasons you have been appointed to a five-year term is so that you will be protected from undue political pressure. So, we urge you to take a stand against this kind of intimidation, abandon this proposed rule, and make it clear to a nervous public that your agency will no longer engage in government-sanctioned crackdowns on speech," the lawmakers wrote.

 

* * * * *

 

 

February 5, 2014

 

 

The Honorable John Koskinen

 

Commissioner

 

Internal Revenue Service

 

1111 Constitution Avenue, NW

 

Washington, D.C. 20224-0001

 

 

Dear Commissioner Koskinen:

As you know, the reputation of the Internal Revenue Service (IRS) is at an all-time low in the eyes of the public it exists to serve. Last year, three high-ranking IRS officials left the agency after the Treasury Inspector General for Tax Administration (TIGTA) determined the IRS had targeted conservative organizations in the run-up to the 2010 and 2012 elections. It is now therefore incumbent upon you and your team to demonstrate to the American people that you are making every effort to regain their confidence and trust.

Surprisingly, the new proposed rule published by your predecessor in November goes in the opposite direction by continuing to target the first amendment rights of these same grass-roots groups.1 This rule would redefine political activity so broadly that grass-roots groups all across the country will likely be forced to shut down simply for engaging in the kind of non-partisan educational activities the 501(c)4 designation was designed to support. In many cases, these are the same groups that were already victimized by the IRS's inappropriate targeting.

The timing of this rule appears calculated to take effect just in time for the mid-term elections, giving the strong appearance of political motivation. Moreover, Congressional investigators have found that, despite the claim that the draft rule was produced in response to the 2013 TIGTA report, the draft rule had been under consideration within the administration for at least two years before that report came out, suggesting a political motivation well outside the bounds of the agency's mission.

This proposed rule is an affront to free speech itself. It poses a serious and undeniable threat to the ability of ordinary Americans to freely participate in the democratic process. That's why groups all along the political spectrum, from the ACLU to the Chamber of Commerce, and the citizens who support them, are increasingly concerned about its effect.

It is our view that finalizing this proposed rule would make intimidation and harassment of the administration's political opponents the official policy of the IRS and would allow the Obama Administration to use your agency as a partisan tool. This would be a serious error, especially in light of the recent track record of intimidation at the IRS. It would also cement your reputation as someone who is unable or unwilling to restore the public's faith in this important agency.

We believe it is your intent to restore a credible, non-partisan approach at the IRS. And, we understand that you inherited this proposed rule. But, you are now left with a simple choice -- reform the IRS and root out any hint of corruption or targeting of political opponents, starting by withdrawing this proposed rule, or allow the administration to use the agency as a means to infringe on the constitutionally protected right to free speech.

One of the reasons you have been appointed to a five-year term is so that you will be protected from undue political pressure. So, we urge you to take a stand against this kind of intimidation, abandon this proposed rule, and make it clear to a nervous public that your agency will no longer engage in government-sanctioned crackdowns on speech.

Sincerely,

 

 

Mitch McConnell

 

 

John Cornyn

 

 

John Thune

 

 

Orrin Hatch

 

 

Richard Shelby

 

 

John Boehner

 

 

Eric Cantor

 

 

Kevin McCarthy

 

 

Cathy McMorris Rodgers

 

 

Dave Camp

 

 

Hal Rogers

 

FOOTNOTE

 

 

1 78 Fed. Reg. 71535 (November 29, 2013).

 

END OF FOOTNOTE
DOCUMENT ATTRIBUTES
  • Authors
    McConnell, Sen. Mitch
    Cornyn, Sen. John
    Thune, Sen. John
    Hatch, Sen. Orrin G.
    Shelby, Sen. Richard C.
    Boehner, Rep. John A.
    Cantor, Rep. Eric
    McCarthy, Rep. Kevin
    McMorris Rodgers, Rep. Cathy
    Camp, Rep. Dave
    Rogers, Rep. Harold
  • Institutional Authors
    Senate
    House of Representatives
  • Cross-Reference
    REG-134417-13 2013 TNT 229-11: IRS Proposed Regulations.
  • Code Sections
  • Subject Area/Tax Topics
  • Jurisdictions
  • Language
    English
  • Tax Analysts Document Number
    Doc 2014-2789
  • Tax Analysts Electronic Citation
    2014 TNT 26-21
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