The official blog of the Libertarian Party
December 10, 2006
A Holiday Message from the IRS
From the AP:
More than $1 million donated after an arson blaze killed five firefighters can't be distributed to their families because the charity didn't follow IRS rules.
You're a mean one, Mr. Grinch
You really are a heel!
You're as cuddly as a cactus
You're as charming as an eel, Mr. Grinch!
You're a bad banana with a
Greasy black peel!
However, tax-exempt charitable organizations cannot raise money for a group as small and specific as the families of five firefighters. Under federal law, such groups can give money to individuals only if those individuals or families are part of a wider class and if giving the money ultimately benefits the community.
You're a monster, Mr. Grinch
Your heart's an empty hole!
Your brain is full of spiders
You've got garlic in your soul, Mr. Grinch!
I wouldn't touch you with a
Thirty-nine-and-a-half-foot pole!
"This was a spontaneous effort - there wasn't time to go to a bunch of tax attorneys and CPAs," said Riverside County Supervisor Marion Ashley. "We feel like the IRS is the Grinch that stole Christmas."
You're a vile one, Mr. Grinch
You have termites in your smile!
You have all the tender sweetness
Of a seasick crocodile, Mr. Grinch!
Given the choice between the two of you
I'd take the, um, seasick crocodile!
Posted by Stephen Gordon at December 10, 2006 03:04 PM
Reader Comments:
Stephen I hope you used this as a press release.
M.H.W.
How 'bout they just distribute the funds anyway and make the IRS come after them. Then, take it to court and see how quickly it get's thrown out.
Nick- Do you mean the same court system that allows the IRS to confiscate property suspected of being bought with drug proceeds without proving it? Or the same court system that ruled long ago that the death penalty was unconstitutional even though it is the only punishment mentioned in the constitution? Or the same court system that says it is okay for the government to take your property and give it to someone else just because he will raise more tax revenue for the government?
I would have little faith in the courts upholding people's rights against a federal agency. They rarely have before.
This is just one of the reasons to favor a sales tax over an income tax. It would generally be less invasive of privacy, charities, etc.
Remember the idiots who gave the IRS this power in the first place are the Grinches behind the Grinch!
An update to the original article. Congress on its final day of legislative work passed a relief bill for the firefighters. They will now be able to get their money without IRS interference.
H. R. 6429
AN ACT
To treat payments by charitable organizations with respect to certain firefighters as exempt payments.
Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the `Fallen Firefighters Assistance Tax Clarification Act of 2006'.
SEC. 2. PAYMENTS BY CHARITABLE ORGANIZATIONS WITH RESPECT TO CERTAIN FIREFIGHTERS TREATED AS EXEMPT PAYMENTS.
(a) In General- For purposes of the Internal Revenue Code of 1986, payments made on behalf of any firefighter who died as the result of the October 2006 Esperanza Incident fire in southern California to any family member of such firefighter by an organization described in paragraph (1) or (2) of section 509(a) of such Code shall be treated as related to the purpose or function constituting the basis for such organization's exemption under section 501 of such Code if such payments are made in good faith using a reasonable and objective formula which is consistently applied.
(b) Application- Subsection (a) shall apply only to payments made on or after October 26, 2006, and before June 1, 2007.
December 9 (legislative day, December 8), 2006.
Attest:
Clerk.
John B, good point. Whatever happened to the trial by jury in cases over $20.00? Just another case of politicians ingoring the Constitution. If not thrown out, the case would certainly be won in a jury trial. No 12 Americans are going to favor the IRS over firefighters.
It also points out the fact that changing the Legislative and Executive branches CAN be done in one landmark election day, but reforming the Judiciary will take a lifetime because of life terms for judges. Doesn't mean we shouldn't try, though, right?
As usual, the Income Robbery Service has "graced" us with their presence and message.
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Stephen I hope you used this as a press release.
Posted by: MichaelHWilson at December 11, 2006 06:51 PMM.H.W.