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Phillyindy

Phillyindy's Journal
Phillyindy's Journal
July 27, 2013

True...but lets face it...

...if not Obama, who? You won't see a better "speaker", as he's governed center-right. Same with Bill Clinton, who while I like very much, also repealed Glass Stegel, created NAFTA, signed brutal welfare reform, and much more. Why? To be popular, because to the point of my thread, Republican talking points win. This is why outside of social issues mainly advancing progressively, economically we have had hard right policies since Reagan.

June 6, 2013

Corporate Killers

If you haven't heard, a building being prepared for demolition collapsed onto another building yesterday in Philadelphia, killing at least 6 people and wounding 14.

However, since this story doesn't have to do with Muslims, gays, the word "Benghazi" or the IRS acting like a lawless modern day Nazi SS by scrutinizing the applications of political organizations applying for tax-exempt status, my guess is the media will spend more time discussing Paris Jackson's alleged suicide attempt then investigating what actually happened here.

This is both typical and tragic, because while these 6 people didn't die at the hands of any evil brown people, and so far even Matt Drudge can't find a way to link this to President Obama, all early indications are that these people died solely because the company hired to demolish a building in a major city refused to follow the federal regulations to do so. In fact their work was so shoddy that most eye witnesses stated they could plainly see a collapse was bound to happen, and that the demolition company was using all the precaution of a toddler in a ball pit.

Granted, all the facts are not yet known, and I realize there is no 10 second video of the event the media can play on an endless loop with some ominous apocalyptic backdrop. Still, it's disturbing that while a couple of nutcases with firecrackers and a pressure cooker can shut down a major city and dominate the national media for days on end, what appears to be a blatant case of corporate criminal negligence leading directly to the the horrific death of 6 people (TWICE the number of Boston Marathon fatalities) garnishes little more then a yawn.

If only people understood that the real threat to their everyday lives and the lives of their children is not terrorism, but lawless corporations choosing to ignore regulations because of toothless regulatory agencies and our refusal to imprison corporate killers.







June 3, 2013

Dispatches from the Bubble

Driving in this morning a prominent right wing radio host was talking about some "bombshell" letter with regards to the IRS "Scandal". Apparently, according to the host, Al Frankin and some other Senate Democrats had actually sent a letter directly to the IRS "demanding that they target conservative non profit groups".

Wow!!!!! That would be quite the bombshell wouldn't it!!!!

So, when I got to work I took the 90 seconds necessary to verify if this was true (knowing damn well it couldn't be), and sure enough it was a complete lie. The truth is that the letter signed by half a dozen senators back in 2012 simply requested that the IRS address the deeply flawed requirements for groups applying for non-profit status by claiming to be "social welfare organizations" when they are really just political groups. The letter makes no mention of conservative or liberal groups, and is completely non-partisan. I pasted the letter below.

There is nothing special about this mind you, it occurs across right wing media every single hour of every single day. Still, it's a good example of how the right wing "bubble" works. The right bases it's propaganda on the Nazi big lie theory - the bigger the lie the more believable, and the more you repeat it the more true it will seem.

So in this case, an article titled, "Schumer, Franken urged IRS to target tea party in 2012" appeared in the popular right wing website, "The Daily Caller", a totally credible "news" website frequently quoted on radio & Fox News. Obviously, the headline itself was an absurd lie. Still, within minutes its picked up by the entire right wing media establishment, false headline and all. Check out this quick google search to watch the bs spread like a cancer...

http://www.google.com/#bav=on.2,or.r_qf.&fp=848960e896e4f625&q=Schumer%2C+Franken+urged+IRS+to+target+tea+party+in+2012

And voila!.....It's now a fact in the bubble that Senate Democrats conspired to target conservative groups and there is hard core evidence of it. Anyone denying this is either brainwashed by Obama or part of the liberal conspiracy.

Here is the actual letter to the IRS....

Hon. Douglas H. Shulman
Commissioner
Internal Revenue Service
Room 3000 IR
1111 Constitution Avenue, N.W.
Dear Commissioner Shulman:

We write to ask the Internal Revenue Service (“IRS”) to immediately change the administrative framework for enforcement of the tax code as it applies to groups designated as “social welfare” organizations. These groups receive tax and other advantages under section 501(c)(4) of the Internal Revenue Code (hereinafter, “IRC” or the “Code”), but some of them also are engaged in a substantial amount of political campaign activity. As you know, we sent a letter last month expressing concerns about the 501(c)(4) issue; an investigation this week by the New York Times has uncovered new, specific problems on how c)4)s conduct business. We wanted to address those new concerns in this letter.

IRS regulations have long maintained that political campaign activity by a 501(c)(4) entity must not be the “primary purpose” of the organization. These regulations are intended to implement the statute, which requires that such organizations be operated exclusively for the public welfare. But we think the existing IRS regulations run afoul of the law since they only require social welfare activities to be the 'primary purpose' of a nonprofit when the Code says this must be its 'exclusive' purpose. In recent years, this daylight between the law and the IRS regulations has been exploited by groups devoted chiefly to political election activities who operate behind a facade of charity work.

A related concern, raised in a March 7th New York Times article, concerns whether certain nonprofits may be soliciting corporate contributions that are then treated by the company as a business expense eligible for a tax deduction. The Times wrote: “Under current law, there is little to no way to tell whether contributions are being deducted, especially because many of the most political companies are privately held.” This potential abuse distorts the objectives of vital revenue mechanisms and undermines the faith that we ask citizens to place in their electoral system.

We propose that the IRS make three administrative changes to curtail these questionable practices and bring IRS tax regulations back into alignment with the letter and spirit intended by those who crafted the Code:

· First, we urge the IRS to adopt a bright line test in applying its “primary purpose” regulation that is consistent with the Code’s 501(c)(4) exclusivity language. The IRS currently only requires that the purpose of these non-profits be “primarily” related to social welfare activities, without defining what “primarily” means. This standard should be spelled out more fully by the IRS. Some have suggested 51 percent as an appropriate threshold for establishing that a nonprofit is adhering to its mission, but even this number would seem to allow for more political election activity than should be permitted under the law. In the absence of clarity in the administration of section 501(c)(4), organizations are tempted to abuse its vagueness, or worse, to organize under section 501(c)(4) so that they may avail themselves of its advantages even though they are not legitimate social welfare organizations. If the IRS does not adopt a bright line test, or if it adopts one that is inconsistent with the Code’s exclusivity language, then we plan to pursue legislation codifying such a test.

· Second, such organizations should be further obligated to document in their 990 IRS form the exact percentage of their undertakings dedicated to “social welfare.” Organizations should be required to “show their math” to demonstrate that political election activities and other statutorily limited or prohibited activities do not violate the “primary purpose” regulation.

· Third, 501(c)(4) organizations should be required to state forthrightly to potential donors what percentage of a donation, if any, may be taken as a business expense deduction. As the New York Times reported in its March 7tharticle, some of these organizations do not currently inform donors whether a contribution is tax deductible as a business expense at all.

The IRS should already possess the authority to issue immediate guidance on this matter. We urge the IRS to take these steps immediately to prevent abuse of the tax code by political groups focused on federal election activities. But if the IRS is unable to issue administrative guidance in this area then we plan to introduce legislation to accomplish these important changes.

Sincerely,

Senators Charles E. Schumer, Michael Bennet, Sheldon Whitehouse, Jeff Merkley, Tom Udall, Jeanne Shaheen and Al Franken

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