Groups Add to Evidence in “Whistleblower” Tax Fraud Claim Against ALEC

Common Cause and the Center for Media and Democracy sent federal authorities new evidence today that the American Legislative Exchange Council (ALEC) is falsely passing itself off as a tax-exempt charity and effectively using taxpayer dollars to subsidize its lobbying on behalf of private interests.

Common Cause filed a supplement to its three-year-old tax whistleblower complaint against ALEC, and the two groups sent a joint letter to Internal Revenue Service Commissioner John Koskinen demanding an investigation, collection of fines and back taxes, and the revocation of ALEC’s status as a tax-exempt charity. Supporting evidence available here.

“Our whistleblower complaint, which includes statements, letters and correspondence from ALEC member companies and previously undisclosed public records of ALEC’s lobbying activities, demonstrates beyond doubt that ALEC is – and always has been – a lobby, not a charity,” said Common Cause President Miles Rapoport.

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