Note: A Manageable Solution with Meaningful Results: Illuminating IRS Enforcement of § 501(c)(3)’s Prohibition on Political Intervention

Julia D. Zwak, student at University of Minnesota Law School, published a student note entitled A Manageable Solution with Meaningful Results: Illuminating IRS Enforcement of § 501(c)(3)’s Prohibition on Political Intervention, 99 Minn. L. Rev. 381. The note explores the lack of clarity regarding the IRS’s enforcement of the prohibition on political intervention. Zwak explains that the lack of clarity has made it difficult for exempt organizations to accomplish their missions while remaining in compliance with the law.  Specifically, under Revenue Ruling 2007-41, the IRS uses a facts and circumstances analysis in determining whether an organization has violated the political intervention prohibition. However, the Revenue Ruling gives no rationale in its conclusions, provides no specific set of circumstances that are deemed critical to the analysis, and it simply falls short of providing practical guidance to organizations.

According to Zwak, one solution would be for the IRS to publish reports specifying its application of the facts and circumstances in actual enforcement efforts of the prohibition.

DAB