IRS investigates UCC, Tax Exempt status at risk due to Obama

The story centers on Obama’s General Synod speech prompts IRS to investigate UCC’s tax-exempt status, which is posted at the UCC’s own Web site.

The Internal Revenue Service has notified the United Church of Christ’s national offices in Cleveland, Ohio, that the IRS has opened an investigation into U.S. Sen. Barack Obama’s address at the UCC’s 2007 General Synod as the church engaging in “political activities.”

In the IRS letter dated Feb. 20, the IRS said it was initiating a church tax inquiry “because reasonable belief exists that the United Church of Christ has engaged in political activities that could jeopardize its tax-exempt status.”

“The United Church of Christ took great care to ensure that Senator Obama’s appearance before the 50th anniversary General Synod met appropriate legal and moral standards,” Thomas told United Church News. “We are confident that the IRS investigation will confirm that no laws were violated.”

The Internal Revenue Service’s letter to the UCC alleges not only that Barack Obama delivered a speech with campaign-related content as described above, but also that his supporters–again contrary to the rules to which he and his campaign agreed–staffed campaign tables outside the event. The IRS writes, “In addition, 40 Obama volunteers staffed campaign tables outside the center to promote his campaign.”

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