Spotlight On Charitable Foundation Abuse
As charitable abuse goes, I don’t think this particular deal, assuming the worst, is all that abusive. It is not a matter of real charitable dollars being diverted to personal purposes. All the money is coming from Mr. Martin, not the gullible general public and he is just seeking a favorable tax characterization on the money that he is giving his daughters.
President’s Religious Liberty Order Might Not Change IRS At All
It is hard to see what the IRS can change in response to this order. The most recent detailed guidance I know of is Revenue Ruling 2007-41 which teaches about the rules by way of 21 examples. The examples center on the organization or its officers in effect explicitly saying “Vote for Joe”. The officers can say “Vote for Joe” as long as they make it clear they are not speaking in their official capacity and are not using organizational resources. It is not clear that the Executive Order requires any revision to that ruling, but it would not surprise me if there is somebody in the Chief Counsel’s office checking on that now.
Follow Me
Over and over again courts have said that there is nothing sinister in so arranging one’s affairs as to keep taxes as low as possible. Everybody does so, rich or poor; and all do right, for nobody owes any public duty to pay more than the law demands: taxes are enforced exactions, not voluntary contributions. To demand more in the name of morals is mere cant.
