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April 2, 2006

NAACP Challenging IRS Probe Into Tax-Exempt Status by Randy Hall

The National Association for the Advancement of Colored People is basically telling the IRS to put up or shut up. On Thursday, the NAACP said it will challenge the IRS in federal court -- if the IRS does not refund the $17.65 estimated tax the NAACP paid on a controversial speech delivered by NAACP Chairman Julian Bond in July 2004. The IRS is investigating a complaint that NAACP Chairman Julian Bond tried to steer blacks away from President Bush in the run-up to the presidential election, in violation of its tax-exempt status. Although the NAACP insists that Bond's speech did not compromise its tax-exempt status, the group said it filed a form with the IRS in September, treating Bond's speech as political activity -- just in case. If the IRS fails to respond to the refund request in six months, the NAACP said it will "seek review of the refund claim in federal court."

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