Review of the Exempt Organizations Function Process for Reviewing Alleged Political Campaign Intervention by Tax Exempt Organizations describes a Political Intervention Project (PIP) established in June 2004 to “fast track” referrals and prevent recurring violations by groups exempt under Section 501(c)(3) of the tax code. A three-person committee reviewed the cases and decided which should be referred for further action.

Of the 131 cases the PIP committee reviewed, 10 were dismissed because they did not involve partisan political activities. Of the remaining 121 cases, the committee found that 80 warranted further investigation based on a “reasonable belief” that a violation may have occurred or that examination would lead to discovery of a violation. Of these 80 organizations, 34 are religious. The report found that slightly more pro-Republican groups than pro-Democratic groups were in the pool selected for further investigation.

The report did not address whether the IRS has the authority to “fast track” these cases absent a flagrant violation of the ban on partisan activity by charities. The NAACP has refused to respond to a summons in its examination, saying the law requires a finding of flagrant violation before expedited review.