SMIDGEN REPORT: Email Reveals Lerner Ignored Union Political Expenditures

Shulman, Lerner and Wolin take their seats to testify before a House Oversight and Government Reform Committee hearing on targeting of political groups seeking tax-exempt status from by the IRS, on Capitol Hill in Washington

Connor D. Wolf reports: The official at the center of the Internal Revenue Service tea party scandal once dismissed complaints that labor unions were not reporting millions of dollars in political activities on their tax forms, according to an email obtained by The Daily Caller News Foundation.smdg-tv2

“We believe this difference in reporting does not necessarily indicate that the organization has incorrectly reported to either the DOL or the IRS.”

In 2007, Lerner responded directly to a complaint that some major labor unions reported completely different amounts of political expenditures when filing with the IRS and the Department of Labor.

At the time of the email, Lerner was the Director of Exempt Organizations at the IRS.

Lerner wrote, “We looked at the information you provided regarding organizations that report substantial amounts of political activity and lobbying expenditures on the DOL Form LM-2, but report little to no political expenditures on the Form 990 filed with the IRS.”

“We believe this difference in reporting does not necessarily indicate that the organization has incorrectly reported to either the DOL or the IRS,” Lerner concluded.

Don Todd, the deputy assistant secretary of the Office of Labor-Management Standards (OLMS) at the time the email was sent, confirmed seeing Lerner’s email and remembering similar complaints at the time. OLMS oversees labor union financial disclosures within the Department of Labor…(read more)

The Daily Caller

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