From Associated Press:
APNEWSBREAK: VET GROUP HOSTING TRUMP LOST NONPROFIT STATUS
The Internal Revenue Service revoked the nonprofit status of the veterans benefit organization that hosted and sold tickets to a foreign policy speech by Republican presidential candidate Donald Trump aboard a retired U.S. battleship, The Associated Press has learned. The group's endorsement of Trump at the event also could raise legal problems under campaign finance laws.
Trump's campaign did not respond to questions from the AP about whether it was aware that the IRS had revoked the nonprofit status of the Veterans for a Strong America, which sold tickets to Trump's event for up to $1,000 as a fundraiser.
There is a dark aspect to the group:
The IRS issued its decision Aug. 10, citing the group's failure to file any tax returns for three consecutive years, according to IRS records reviewed by the AP.
The group's chairman, Joel Arends of Sioux Falls, South Dakota, said the organization was appealing the IRS decision. He would not provide AP with copies of any tax returns, which would show how much money the group has collected over the years and how it spends its money. By law, such records are supposed to be available to the general public for inspection.
Digging into the legal aspect of this:
U.S. law also generally prohibits candidates from coordinating their campaign activities with outside groups, and prohibits corporations from spending more than a minimal amount announcing their endorsements.
"You can do what you want so long as you're independent. But if the FEC finds coordination, a whole lot of rules kick in," said Kenneth Gross, a former Federal Election Commission attorney who now works for Skadden, Arps, Slate Meagher & Flom LLP in Washington.
Of course, Democrats do this all the time. Obama and the Clintons have long held fundraisers at Churches and Schools - both 501(c)3s. In Bellingham, a local recycling non-profit just got it's pee-pee whacked for becoming very involved in county politics.
Let a Republican try this and it's lights-out. Only took the IRS two days from the event to the change of status.
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