DLC loses tax exempt status

[LiviaOlivia]

DLC loses tax exempt status
Submitted by lambert on Sat, 2006-09-16 20:09.

It couldn’t happen to a nicer crowd of Bush enablers. Although silly Forbes still thinks the DLC are Democrats:

In a previously unreported action, the Internal Revenue Service has revoked the DLC’s tax exemption on the grounds that it primarily benefited a private group—Democrats, and particularly “New Democrats” running for or holding office—rather than the community at large. The DLC has sued in federal court to overturn the decision;

So that’s why these guys were meeting with Bloomberg. And to think we thought Al From was just whoring marketing his, erm, services. Not that there’s anything wrong with that.

The DLC isn’t a 501(c)(3) charity like the United Way. It won exemption in 1986 under section 501(c)(4) of the code, covering civic and social welfare groups. Contributions to civic groups aren’t deductible. But 501(c)(4)s are allowed to lobby more than charities and to even get involved in partisan politics. The National Rifle Association, MoveOn.org, Planned Parenthood and the National Right to Life Committee are all 501(c)(4)s.

What’s the practical value of a (c)(4) designation if it doesn’t generate writeoffs for its donors? A (c)(4) isn’t taxed as a for-profit business would be and doesn’t have to disclose its donors, as a political action committee does.

Hmmm… I wonder why they don’t want to disclose their donors?

Interestingly, the “D”LC is claiming its exemption on the grounds that “Democratic” is really a misnomer:

The DLC responds that its exclusive purpose is to develop and promote its “Third Way” agenda and that some causes it has lobbied for—e.g., welfare reform, fast-track approval of free-trade agreements—got more Republican than Democratic votes in Congress.

~snip~

http://www.correntewire.com/dlc_loses_tax_exempt_status

[gully]

1. The DLC is not democratic, it's as you said "a special interest group."

Interesting.

[mod mom]

2. covering civic and social welfare groups-SHOULD BE CORPORATE WELFARE!

[gully]

3. Adding the question, will Republican groups lose their status also?

http://www.aboutus.org/Amexp.org

Center of the American Experiment is a nonpartisan, tax-exempt, public policy, and educational institution. Founded in 1990, we have become the premier public policy organization in Minnesota. American Experiment believes that life, liberty, and the pursuit of happiness are best secured by ideas rooted in free enterprise, limited government, individual liberty, and traditional American values. We bring those values and ideas to bear on the most difficult issues facing Minnesota and our nation.

American Experiment continues to help drive Minnesota’s transformation from a liberal, high tax, big government state toward a more conservative and free market future.

[Phredicles]

4. Why the hell IS that outfit tax-exempt???

They sound pretty damn partisan to me.

[gully]

9. Excellent question. Seems the IRS is targeting Democratic/Liberal

groups/churches and leaving the likes of Fallwell/Dobson alone?

[hootinholler]

8. THat would be cool to see the PNAC and the AEI loose it too. n/t

[Totally Committed]

5. The DLC is a bunch of corporate whores who are more a

special-interest LOBBY group than part of this Party. They are a bunch of DINO Bush-enablers whose wussy modus operendi has been to make us look like a bunch of gutless wonder flip-flopper war-monger corporatists.

I'm glad they lost tax-exempt status. Just means less money to bribe good elected Democrats to vote with Bush.

TC

[Stinky The Clown]

6. Worrisome? Or not?

My comment here is NOT in support of the DLC ... or anyone else, specifically. So if you answer, answer what I say, not what you *think* I'm saying ......

If they lose tax exempt status, who else might?

Are there similar (structurally, not ideologically) organizations who are now also vulnerable?

Are PACs in any way similar?

This bears watching ..... and may be a good thing .... or not. Depends on how it all turns out?

[quiet.american]

7. I understand what you're saying... "first they came for the DLC...." n/t

[Stinky The Clown]

10. Yeah .... pretty much ..... that's it.

[Joanne98]

12. Well the DLC could always get a backbone and kick Bush's ass!

But I won't hold my breath!

[Joanne98]

11. HAHAHAHA! The third way, welfare reform and fast track trade deals

They forgot deregulation of Energy, Banking, Telecom and Media. Along with expanding the FBI powers internationally and making 50 more crimes death penalty offenses. Did I forget anything? Oh! The WTO and globalization. Don't you just love it.