Sen. Chuck Grassley, chairman of the Committee on Finance, is investigating governanceproblems in the non-profit arena and considering legislative reforms. He made the followingcomment on a report released today from the Treasury Inspector General for Tax Administration,“The Tax Exempt and Government Entities Division Strategy for Abusive Tax AvoidanceTransactions Needs Further Development," Reference Number: 2004-10-190. The report is postedat http://www.ustreas.gov/tigta/.
“This important new report highlights the need for the IRS to take aggressive action inidentifying and dealing with tax shelters in the tax-exempt area. Along with seeking stepped-up IRSenforcement, the Finance Committee is actively reviewing current law to determine whetherpenalties and disclosure are adequate to deter and prevent tax-exempt organizations fromparticipating in tax abusive transactions."
For Finance Committee materials on non-profits and tax shelters, please see the “Tax ExemptGovernance Proposals: Staff Discussion Draft" and the testimony of Jay D. Adkisson, Editor ofQuatloos.com and Director of Private Client Services Select Portfolio Management, Inc., under“hearings," June 22, 2004, at finance.senate.gov.
Source: Ranking Member’s News
