WASHINGTON, DC/ATLANTA, GA: The Internal Revenue Service today agreed to withdraw its controversial proposed rule calling on non-profit organizations to collect Social Security numbers and other information from donors, who have previously been protected against public exposure and inquiry.
The outcry from the non-profit world, including SLF - which filed a Formal Comment opposing the measure during the administrative review process by the Treasury Department late last year - was overwhelming and pointed to potential legal and constitutional issues raised by the new inquiry mandates.
"The IRS, which continues to answer tough questions about its handling of applications from center-right organizations seeking IRS approval, made a prudent move to withdraw the new rule for personal data collection on donors to non-profit groups," said Todd Young, SLF COO. "Let's hope and trust this is a permanent withdrawal and not a temporary hold until a new plan to gather data by force of law is designed."
Click here for SLF Formal Comment on Proposed IRS Rule Jan. 8, 2016