IRS Scandal Widens: Agency Accused of Abusing Audit Power

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IRS Scandal

The IRS has been accused of misusing its audit powers in addition to singling out conservative groups seeking tax exempt status. 

In a series of special reports, Breitbart News is detailing additional stories of what appears to be IRS abuse and potential involvement from other agencies and possible Senate Democratic involvement.

The tax agency twice audited Idaho-based businessman Frank VanderSloot--once for his personal finances and once for one of his businesses in 2012 after President Obama’s re-election campaign placed him on a list with seven other donors to Mitt Romney’s campaign--and the Department of Labor audited one of his businesses as well. In addition a Senate staffer appeared in his hometown shortly thereafter seeking legal records on VanderSloot. 

In addition to VanderSloot, the IRS audited the conservative Leadership Institute in 2012 and requested records including such things as the identities of former interns and where they work now. The IRS also audited several other groups like the conservative women’s group the Clare Boothe Luce Policy Institute in 2011, and other who were audited have come forward to Breitbart News but do not yet want to go on the record for this series for fear of further reprisal.

“I know that I’m not the only one who received audits,” VanderSloot said. “I don’t know how many, but I know I’m not the only one.”

Leadership Institute president Morton Blackwell said he thinks this is the next stage of the scandal: the disparate targeting of conservative groups who already have tax exempt status. 

“The appropriate thing that ought to be done is to demand from the IRS similar analysis of conservative nonprofits who already have tax exempt status whom they have audited,” Blackwell said in a phone interview. “It’s a very legitimate question to ask. Now that information is being divulged about nonprofit applications, there’s no good reason not to divulge that information about audits of existing nonprofits.”

These facts could widen the IRS scandal surrounding that organization that has already sent President Barack Obama’s administration into a frenzy over the past week, highlighted by the president’s and Treasury Secretary Jack Lew’s asking for and receiving the resignation of acting IRS commissioner Steven T. Miller. Miller was, however, set to leave his post anyway.


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