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Department of the Treasury — Internal Revenue Service
Tax-Exempt Organization Complaint (Referral) Form
100 W WASHINGTON, STE 1900
1. NAME OF REFERRED ORGANIZATION: MARACOPA COUNTY SHERIFFS COLD CASE POSSE INC. Street Address:
City/State/Zip Code: PHOENIX, AZ Date of Referral: JUNE 24, 2012 2. ORGANIZATION’S EMPLOYER IDENTIFICATION NUMBER (EIN): 01-0877871 3. NATURE OF VIOLATION:
Directors/officers/persons are using income/assets for personal gain Organization is engaged in commercial, for-profit business activities Income/assets are being used to support illegal or terrorist activities Organization is involved in a political campaign Organization is engaged in excessive lobbying activities Organization refused to disclose or provide a copy of Form 990 Organization failed to report employment, income, or excise tax liability properly Organization failed to file required federal tax returns and forms Organization engaged in deceptive or improper fundraising practices Other (describe):
4. DETAILS OF VIOLATION: Name(s) of Person(s) Involved: MIKE ZULLO Organizational Title(s): OFFICER, DIRECTOR Date(s): August 2011 to present Dollar Amount(s) (if known): $10,000 to $40,000 or more Description of activities:
Intervening in a political campaign by repeated allegations of wrong doing by representatives of a candidate for office; profiting from book sales regarding same, as more fully described in attached summary of events.
5. SUBMITTER INFORMATION: Name:
Occupation or Business: 30-2010-00380946 Street Address: 30-2010-00380946 City/State/Zip Code: 30-2010-00380946 Telephone:
I am concerned that I might face retaliation or retribution if my identity is disclosed.
6. SUBMISSION AND DOCUMENTATION: The completed form, along with any supporting documentation, may be mailed to IRS EO Classification, Mail Code 4910DAL, 1100 Commerce Street Dallas, TX 75242-1198, faxed to 214-413-5415 or emailed to email@example.com.
Catalog Number 50614A www.irs.gov Form 13909 (08-2007)
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TAX EXEMPT ORGANIZATION COMPLAINT (REFERRAL) INSTRUCTIONS
The information provided on this form will help the Internal Revenue Service (IRS) determine if there has been a violation of federal tax law. Submission of this form is voluntary. Upon receipt of this form, the IRS will send you a letter acknowledging receipt of the information you submitted. If at a later date you wish to submit additional information regarding the organization, please attach a copy of the form initially submitted, and send it to the address shown above.
1. ORGANIZATION NAME AND ADDRESS: Provide the current name and address of the organization. If the organization has used prior or multiple name(s) or address(es), also provide that information. 2. EMPLOYER IDENTIFICATION NUMBER: Provide the organization’s employer identification number (EIN). The EIN is a nine-digit number, issued by the IRS, that the organization uses for tax purposes (like a Social Security Number (SSN) for an individual). If the EIN is unavailable, include a state nonprofit corporation registration number, if available. 3. NATURE OF VIOLATION: Mark the description that describes the organization’s alleged violation. More than one line may apply. If none of the descriptions appear to apply, briefly state the issue on the Other line. 4. DETAILS OF THE VIOLATION: Provide specific details of the alleged violation including names, actions, places, amounts, dates, and the nature of any evidence or documentation (who, what, where, when, how). Include the names of other organizations, entities, or persons that may be involved with the organization, providing EINs or SSNs, if available. 5. YOUR INFORMATION: Provide your name, address, and business or occupation. Include your daytime telephone number, in case we wish to contact you. The acknowledgement letter will be sent to the address you provide. If you are concerned that you may face retribution if your identity is disclosed, check the appropriate box. You may enter “Anonymous” for Submitter’s Name if you do not want to be identified. 6. SUBMISSION AND DOCUMENTATION: Mail the completed form, including any supporting documentation that you would like for us to review, to the address provided on the form. You may also fax or email the completed form and any supporting documentation to the fax number and email address provided on the form. Include a cover letter describing the documentation or evidence you are providing. If you have already received an acknowledgment letter, include a copy of that letter. If possible, please try to submit all documentation at the same time. If your referral relates to a church please be aware that Congress has imposed special limitations, found in IRC section 7611, on how and when the IRS may conduct civil tax inquiries and examinations of churches. You can find out more about these special limitations in Pub. 1828, Tax Guide for Churches and Religious Organizations, in the section on Special Rules Limiting IRS Authority to Audit a Church. 7. CLAIM FOR REWARD: To claim a reward for providing this information to the IRS, file Form 211, Application for Reward for Original Information. 8. NOTE: Federal law prohibits the IRS from providing you with status updates or information about specific actions taken in response to the information you submit.
Catalog Number 50614A www.irs.gov Form 13909 (08-2007)
In re: Maracopa County Sheriffs Cold Case Posse, Inc. TIN: 01-0877871 Attachment to Form 13909 Tax-Exempt Organization Complaint (Referral) Form To Whom It May Concern: I respectfully request that the Internal Revenue Service investigate “Maracopa County Sheriffs Cold Case Posse, Inc.” (“MCSCCP”), a charity organized under Section 501(c)(3) of the Internal Revenue Code, for statements and actions made and committed in violation of the prohibition against participating in or intervening in a campaign for office. I ask the Service to determine whether MCSCCP’s tax-exempt status should be revoked if it determines the charity violated federal law and whether excise taxes the organization and its managers. I believe it should. I also ask the Service to examine the activities of officer and director Mike Zullo to determine 1) whether he impermissibly benefited from the sale of a publication produced by the organization, 2) whether he directed or encouraged the organization to allow other private parties to financially benefit from the sale of publications produced by the organization and 3) whether he directed or encouraged the organization to make expenditures, including the reimbursement of expenses for personal travel to the State of Hawaii, in furtherance of prohibited political activity. The Organization The Maricopa County Sheriff’s Cold Case Posse is an Arizona non-profit corporation, formed under the non-profit statutes in that state on December 29, 2006, as Arizona corporation number 13342890. On June 21, 2012, I conducted an online search of the IRS database of charitable organizations. I am informed and believe that the Arizona corporation known as “The Maricopa County Sheriff’s Cold Case Posse” is the same organization identified in the IRS database as “Maracopa (sic) County Sheriffs Cold Case Posse, Inc.”, EIN 010877871. The “Maracopa” entity is designated in the IRS database as a public charity. The Arizona corporation’s Articles of Incorporation are available online at the Arizona Corporation Commission website and state that the organization is organized and operated exclusively for charitable, educational, religious or scientific purposes. See Exhibit 1, found at the Arizona Corporation Commission website: http://starpas.azcc.gov/scripts/cgiip.exe/WService=wsbroker1/names-detail.p?nameid=13342890&type=CORPORATION
The Articles filed provide that “No part of the net earnings of the corporation shall inure to the benefit of, or be distributable to its members, directors, officers, or other private persons, except that the corporation shall be authorized and empowered to pay the reasonable expenses for services rendered and to make payments and distributions in furtherance of the purposes set forth in Article 2.” Article 2 indicates that the charitable work of the organization is to support law enforcement activities in Maricopa County. This is consistent with the “mission statement” found on the Posse website: The mission of this organization shall be as follows: To assist and cooperate with the Maricopa County Sheriff's Office in the maintenance of peace, law and order within the County of Maricopa, State of Arizona, at any time and in any manner when requested to do so; to be public spirited; to promote good fellowship and to do so within the laws of the United States and the State of Arizona. Our primary mission will be to assist the Maricopa County Sheriff’s Office at the request of the Sheriff with any investigation including unsolved Homicides and to assist The General Investigation Division (GID) of the Maricopa County Sheriff’s Office and the Enforcement Support Division in any manner as and when requested to do so. The Maricopa County Sheriffs Office Cold Case Posse is available to serve the citizens of Maricopa County 24 hours a day, 365 days per year. http://www.mcsoccp.org/joomla/index.php/mission The organization’s Articles further provide that “No substantial part of the activities of the organization shall be carrying on of propaganda, or otherwise attempting to influence legislation, and the corporation shall not participate in, or intervene in (including the publishing or distribution of statements) any political campaign on behalf of any candidate for public office.” The Articles also prohibit any activity that is not permitted to be carried on under Section 501(c)(3) of the Internal Revenue Code. The Role of Mike Zullo According to the online records of the Arizona Corporation Commission, Mike Zullo is an officer, director and agent for service of process of the organization. (See Exhibit 2, attached.) Mr. Zullo figures prominently in the events taking place between August 2011 and the present day, as more fully detailed below. Prohibited Intervention in a Political Campaign 1. The MCSCCP Supports the Political Objectives of the Surprise Tea Party United States President Barack Obama officially declared himself a candidate for reelection on April 4, 2011.
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(See report by Reuters, http://www.reuters.com/article/2011/04/05/us-usa-electionobama-idUSTRE7312G620110405). Since his election to the Presidency in 2008, President Obama has been subject to claims by some political opponents that he is not eligible to serve as President, based on allegations that he is not a “natural born citizen” as required by the United States Constitution. On April 27, 2011, the President called a press conference at which time he released a copy of his “long form birth certificate” indicating his birth in the State of Hawaii on August 4, 1961. A copy of this certificate was published on the White House website on that date. (http://www.whitehouse.gov/blog/2011/04/27/president-obamas-long-formbirth-certificate) This action did not satisfy all interested parties. On August 20, 2011, the “Surprise Tea Party” of Surprise, Arizona, delivered a three-page letter to the Sheriff of Maricopa County, Joseph M. “Joe” Arpaio. (Exhibit 3, attached.) The letter purported to present a petition requesting that Sheriff Arpaio investigate allegations that the birth certificate of United States President Barack Obama is a forgery. The letter was published online by “World Net Daily” (http://www.wnd.com/files/2011/07/110821letter2.pdf), a media outlet that lists Jerome R. Corsi as a senior staff reporter. (http://www.wnd.com/author/jcorsi/) On September 18, 2011, Jerome Corsi published an announcement on the WND website: “Elite Team Of 5 Assigned To Seek Truth On Obama”, complete with a picture of himself, Sheriff Joe Arpaio and members of the Surprise Tea Party. (http://www.wnd.com/2011/09/346201/) This announcement is listed as an official news/press release of the tax-exempt Maricopa County Sheriff’s Cold Case Posse on its website (http://www.mcsoccp.org/joomla/index.php/news-press) “Surprise Tea Party” is a registered trade name of the Greater Phoenix Tea Party of Scottsdale, Arizona. According to the records of the Arizona Secretary of State, the Surprise Tea Party is a 501(c)(4) tax-exempt organization engaged in “Political Activism”. (See Exhibit 4.) A political organization seeking attention for a partisan cause is fortunate to receive the support of a nationally known figure. Sheriff Arpaio is nationally known – by his own appellation as “America’s Toughest Sheriff” and for several controversial positions and actions. His practices have been criticized by United States District Courts and organizations such as Amnesty International, the American Civil Liberties Union (ACLU), the Arizona Ecumenical Council, the American Jewish Committee, and the Arizona chapter of the Anti-Defamation League. Most recently, he was sued by the United States Department of Justice, which alleges that his department has violated the civil rights of Hispanics by unlawfully stopping, detaining and arresting them in incidents
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dating as far back as 2006. As a result of the Sheriff’s high profile, the announcement of the Cold Case Posse investigation into the President’s birth certificate received attention in the national press, including coverage by the Washington Post: (http://www.washingtonpost.com/blogs/blogpost/post/sheriff-joe-arpaio-tasks-cold-caseposse-to-investigate-obamas-birth-certificate/2011/09/20/gIQAkrZHiK_blog.html) By the end of September 2011, the tax-exempt Posse was actively pursuing the claims of a self-declared political organization against Barack Obama, a candidate standing for re-election as President of the United States. 2. The MCSCCP Supports the Political Objectives of Sheriff Arpaio From September 2011 to March1, 2012, the “investigation” proceeded, but there were no official press releases from the tax-exempt organization. During this period Sheriff Arpaio was quoted in a few online articles by Jerome Corsi of World Net Daily but provided only glimpses into the status of the “investigation”: October 26, 2011 “I can’t tell you everything, but there could be a shock there somewhere that my guys came up with. I can’t talk too much about it. It’s in the process.” (Speaking at a Tea Party event.) November 1, 2011 “Show me the microfilm, not the copies the White House released.” (Considering the microfilm as “best evidence”.) January 27, 2012 “I will not be intimidated against pursuing this investigation into Obama’s eligibility to serve as president of the United States.” (Following the arrest of a man accused of threatening the Sheriff.) But while the Posse and the Sheriff were relatively silent officially, the Sheriff plunged further into partisan Presidential politics, publicly throwing his support behind Republican Rick Perry, who claimed that the Obama birth certificate was “a good issue to keep alive”. See Huffington Post, October 25, 2011: http://www.huffingtonpost.com/2011/10/25/rickperry-obama-birth-certificate_n_1030157.html By November 29, 2011, Sheriff Arpaio had officially endorsed Rick Perry and had joined him on the campaign trail in New Hampshire. (New York Times, November 29, 2011, http://www.nytimes.com/2011/11/30/us/politics/sheriff-joe-arpaio-endorses-rickperry.html)
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All the while, the tax-exempt organization formed to “to assist the Maricopa County Sheriff’s Office at the request of the Sheriff with any investigation” was preparing a report on the birth records of Rick Perry’s opponent, President and candidate Barack Obama. 3. The MCSCCP Publishes and Distributes Statements in Opposition to Candidate Obama a. The Press Conference On March 1, 2012, two days after the Presidential Preference Primary in Arizona, Sheriff Arpaio held a press conference to announce the release of the initial findings of the Cold Case Posse. In a printed press release on official department letterhead, the Sheriff alleged that the “long-form birth certificate” released by the White House on April 27, 2011 was a computer-generated forgery. Further, Mike Zullo, speaking as lead investigator, accused the State of Hawaii Department of Health of Department of Health engaging “in what we believe is a systematic effort to hide any original 1961 birth records that they may have in their possession.” Arpaio and Zullo also called into question other documents allegedly linked to candidate Obama, including his Selective Service registration forms. Finally, Sheriff Arpaio concluded with this denouncement of candidate Obama and his eligibility to serve as President of the United States: “Absent the authentic Hawaii Department of Health 1961 birth records for Barack Obama, there is no other credible proof supporting the idea or belief that this President was born in Hawaii, or in the United States for that matter, as he and the White House have consistently asserted.” (See MSCO press release at MCSO website: http://www.mcso.org/MultiMedia/PressRelease/Sheriffreleasesobamafindings.pdf) b. The “technical” videos The Sheriff’s official press release lists 6 links to YouTube videos which were played and discussed during the March 1, 2012 press conference. Each of these links leads to videos posted by YouTube user “TeaPartyPowerHour” – further indication of the close link between the tax-exempt 501(c)(3) public charity and the self-proclaimed “political activists” of the Arizona Tea Party movement. c. The report: “A Question of Eligibility” On the eve of the press conference, February 29, 2012, World Net Daily reporter Jerome R. Corsi and Mike Zullo, “Chief Investigator, MCSO Cold Case Posse”, released
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a 48-page e-book entitled “A Question of Eligibility, A Law Enforcement Investigation into Barack Obama’s Birth Certificate and His Eligibility to be President”. Originally selling for $8.99, the e-book remains available at Amazon.com for $7.99 per copy. http://www.amazon.com/Question-Eligibility-Enforcement-Investigationebook/dp/B007FWO19W The book presents the findings released at the March 1st press conference, more fully identifies the participants in the investigation, and repeats the conclusion that candidate Obama’s birth records were forged. Immediately upon publication of the e-book, Mike Zullo was criticized for profiting from its sale. Zullo defended his actions in an article published by World Net Daily. Bob Unruh reported: “Lead investigator Mike Zullo told WND that as he was preparing information to be presented to the public “it was clear that the mainstream media was not going to be in attendance” at the sheriff’s scheduled new conference, where he presented facts suggesting both fraud and forgery in the image of a Hawaiian birth certificate that the White House released last year as “proof positive” of Obama’s eligibility for office… …So the problem became to get the information to the American public in spite of an intentional media blackout, since citizens still must make critical leadership decisions about their government through the election process.” According to this WND article, Zullo, an officer and director of the tax-exempt public charity, admitted that the e-book containing statements regarding candidate Obama was published and distributed with the intent to affect the outcome of the 2012 Presidential election. http://www.wnd.com/2012/03/did-threats-silence-media-on-obama-probe/ Further, Zullo claims that he personally made the decision to create and release the e-book: “Zullo told WND that as an investigator he sought transparency, and he just wanted the information made available to everyone who wished a closer look. He said it was not an easy decision. He knew he would be ridiculed by the media if the information was released, but the alternative of allowing the information to be squelched and people kept in the dark was just too much of an injustice. He decided to allow the ebook project in order to disseminate the facts of the case: that there is probable cause to believe Obama’s birth certificate document is a forgery.” And finally, Zullo does not deny that he shares in the profits from the sale of the
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publication – a work product and asset of the tax-exempt organization. d. Continuing Intervention in a Political Campaign The tax-exempt organization has continued to engage in prohibited activity since the March 1, 2012 press conference and has made numerous statements in opposition to candidate Obama in the course of continuing its “investigation”. These statements were released through or reported on the World Net Daily website and indicate the intent to continue to intervene in a political campaign: Most of the event’s information was already presented in earlier press conferences, but now Arpaio is working to get the news out, without or without the media’s help. “I’m just doing what I took an oath of office to do,” Arpaio told the crowd assembled at the church. “The media won’t print it.” http://www.wnd.com/2012/04/arpaio-takes-obamas-forgery-to-public/ The Voice of Russia – successor of Radio Moscow, the official station of the Soviet Union – published an exclusive interview with Sheriff Joe Arpaio March 26 titled, “Obama’s birth certificate may be forgery.” http://www.wnd.com/2012/03/russian-media-expose-forged-birth-certificate/ Arpaio was being interviewed on the Trey Ware Morning Show about the progress in his investigation. Noting that his investigative team, made up of volunteer attorneys and ex-law enforcement personnel, were making headway, he took a swipe at critics who accused him of using taxpayer money by sending a deputy to Hawaii to provide security for the Posse members. “I’m taking all the heat for using taxpayers’ money. I can’t believe this,” Arpaio said. “The Posse’s donations pay [for the trip to Hawaii]. … The Posse’s paying for the deputy, too.” http://www.wnd.com/2012/05/will-trump-attaboy-turn-into-cash-for-arpaioprobe/ Arizona’s Sheriff Joe Arpaio told a radio host today he’s “not impressed” with a letter from the state of Hawaii affirming Barack Obama’s birth there. http://www.wnd.com/2012/05/arpaio-not-buying-hawaiis-obama-birthstory/
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Zullo’s investigation is a volunteer effort, but the Maricopa County Sheriff’s Office has sent him to Hawaii with an MCSO deputy detective for safety reasons and to act as a liaison between MCSO and local law enforcement. WND reporter Jerome Corsi is embedded with the investigators in Hawaii with the provision that reporting during the trip be curtailed to protect the investigation. http://www.wnd.com/2012/05/hawaii-five-o-sheriff-joe-sends-detectives-tohonolulu/ “I can’t disclose to you what we’ve discovered, but it’s going to be a shocking revelation at our press conference,” Zullo promised. Zullo affirmed the posse’s intention to release their findings publicly within the next few weeks. http://www.wnd.com/2012/05/posse-in-hawaii-shocking-news-coming/ The lead investigator for Maricopa County Sheriff Joe Arpaio’s Cold Case Posse – which already has found probable cause that Barack Obama’s publicly released birth certificate is a forgery – says any Hawaii documentation for Obama’s birth that exists would probably be of little value. http://www.wnd.com/2012/06/investigator-foreigners-bought-hawaii-birthcertificates/ Sheriff Joe Arpaio says the decision by Arizona Secretary of State Ken Bennett to place Barack Obama’s name on the state’s presidential ballot won’t put an end to the investigation by his Cold Case posse team, which now has its lead detective on the ground in Honolulu. http://www.wnd.com/2012/05/sheriff-joe-im-not-going-to-call-it-quits/ Maricopa County Sheriff Joe Arpaio, whose special investigative unit already has found probable cause that Barack Obama’s Hawaii birth certificate is a forgery, says the discovery of a 1991 literary brochure listing Obama’s birthplace as Kenya “puts more smoke out there.” And the old saying is? “Where there’s smoke there’s fire. http://www.wnd.com/2012/05/arpaio-reacts-to-latest-obama-kenyaconnection/ “A continuing investigation is needed to identify the identity of the person Page 8 of 11
or persons involved in creating the alleged birth certificate forgery and to determine who, if anyone, in the White House or the state of Hawaii may have authorized the forgery,” Arpaio said. http://www.wnd.com/2012/06/birthers-youve-been-punked-2/ “The Hawaii DOH letter is nothing more than a highly lawyered, cleverly crafted document that we can now prove does not verify what it appears to verify,” he said. “At Sheriff Arpaio’s next press conference we will be able to prove that the Hawaii DOH has actually refused to verify either that Obama was born in Hawaii or that the long-form birth-certificate released by the White House on April 27, 2011, is an authentic document.” http://www.wnd.com/2012/05/sheriff-joes-posse-hawaii-duped-arizona/ From the numerous statements of Mike Zullo and Sheriff Arpaio, it is apparent that they will continue to make allegations regarding candidate Obama on the interest and in press conferences in the period between now and the general election. PRIVATE BENEFIT TO DIRECTORS, OFFICERS AND THIRD PARTIES In addition to the book sales impermissibly flowing to Mike Zullo and Jerome Corsi, it appears that the tax-exempt organization has made political expenditures which are subject to an excise tax on the organization and on the manager who approved them: Mike Zullo. There are no facts to indicate that the entire MCSCCP investigation is anything but a prohibited intervention into the Presidential campaign. Nearly four months after the press conference and e-book, the MCSCCP has yet to release any additional findings. None of the “evidence” has been turned over to a state or federal prosecutor. No arrests have been made. No suspects have been identified. If the investigation is nothing more than a poorly disguised political intervention, then all of the expenses incurred by the investigators are taxable political expenditures. Further, any persons receiving reimbursement from the charitable donations collected by the organization have received a prohibited private benefit: the funding of a junket in support of their own political agenda. At least two persons have privately benefitted: Mike Zullo and Jerome Corsi. In May, Zullo traveled to Hawaii. Jerome Corsi claims that he traveled to Washington DC to review archived records. Multiple outlets report that the MCSCPP has spent $40,000 pursuing the claims of the Surprise Tea Party. An investigation by the Internal Revenue Service is warranted.
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THE LAW Organizations that are exempt from income tax under section 501(a) of the Internal Revenue Code as organizations described in section 501(c)(3) may not participate in, or intervene in (including the publishing or distributing of statements), any political campaign on behalf of (or in opposition to) any candidate for public office. Section 1.501(c) (3)-1(c)(3)(i) of the Income Tax Regulations states that an organization is not operated exclusively for one or more exempt purposes if it is an “action” organization. Section 1.501(c)(3)-1(c)(3)(iii) of the regulations defines an “action” organization as an organization that participates or intervenes, directly or indirectly, in any political campaign on behalf of or in opposition to any candidate for public office. The term “candidate for public office” is defined as an individual who offers himself, or is proposed by others, as a contestant for an elective public office, whether such office be national, State, or local. The regulations further provide that activities that constitute participation or intervention in a political campaign on behalf of or in opposition to a candidate include, but are not limited to, the publication or distribution of written statements or the making of oral statements on behalf of or in opposition to such a candidate. MCSCCP Should Be Held Accountable In my view, the entire investigation, initiated at the request of a partisan political action group, was a direct intervention into a political campaign in opposition to a candidate for public office, Barack Obama. In furtherance of that intervention, the organization impermissibly published and distributed written statements and made oral statements in opposition to the candidate through Mike Zullo, Jerome Corsi and Sheriff Arpaio. Accordingly, the Service could and should revoke the MSCSSP’s charitable status. The Service could also revoke the organization’s charitable status for violation of the prohibition against private benefit. Section 1.501(c)(3)-1(d)(1)(ii) of the Income Tax Regulations provides that an organization is not organized or operated exclusively for one or more exempt purposes unless it serves a public rather than a private interest. There is no excuse for Mike Zullo and Jerome Corsi to pocket the profits of the sale of the e-book or to take Hawaiian vacations funded with charitable donations. In addition to revocation, the Service could also impose a 10% tax on each political expenditure payable by the organization. See I.R.C. § 4955(a)(1). In my view, both actions would be appropriate. The term "political expenditure" is defined in I.R.C. 4955(d)(1) as "any amount paid or incurred by a section 501(c)(3) organization in any participation in, or intervention in . . . any political campaign on behalf of . . . any candidate for public office.”
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Thus, all dollars spent during the prohibited intervention are subject to the provisions of section 4955. In addition to revocation of tax-exempt status, the Service should apply the 10% excise tax to all “investigation costs” incurred in the prohibited political activity. Officer, Director and Manager Mike Zullo Should Be Held Accountable Mike Zullo admitted that the e-book was intentionally produced and distributed in an attempt to affect the outcome of the election and that he personally made the decision to produce it. As an officer and director of the tax-exempt organization, he should be held accountable for the improper political expenditures and impermissible political activities of the organization. Mike Zullo had a legal and fiduciary obligation to ensure that this charity was not used to intervene or participate in a political campaign and not to facilitate the impermissible political intervention as “Chief Investigator”. Under the Internal Revenue Code, the Service can impose a tax on any manager who approved an expenditure and knew it was political, equal to 2.5% of each political expenditure. See I.R.C. § 4955(a)(2). If any managers refuse to assent to the correction, they may be taxed equal to 50% of each of the political expenditures. I.R.C. § 4955 (b)(2). I ask the Service to hold Mike Zullo accountable for his actions regarding the Maricopa County Sheriff’s Cold Case Posse. Thank you for considering this request for investigation and taking all appropriate steps.
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