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527’s cannot advocate for the defeat of a candidate…or can they?

The Chicago Tribune has a story about a Republican non-profit corp. which is trying to see whether certain strategies/techniques are legal.

These groups are typically called 527’s which:

The 527 groups get their name from the section of the federal tax code referring to the tax-exempt status that allows such groups to operate without the normal financial restrictions and disclosure rules for political action committees. To maintain their tax status, such groups cannot expressly advocate for or against the defeat of a candidate.

Then a little later, when describing the top ten earning 527s in 2003.

ORGANIZATION: America Coming Together

DESCRIPTION: Devoted to defeating President Bush in 2004

AMOUNT RAISED: $12,515,000

My emphasis. It seems like there is a difference in opinion between America Coming Together and what a 527 is supposed to be, at least according to what is in the article.

For what its worth I was against Campaign Finance Reform for this reason; it didn’t stop “soft” money just merely shifted the source/expenditure as well as restricting freedom of speech.


About James

I am a Senior Developer/Consultant for InfoPlanIT, LLC. I previously spent over 7 years as a Product Manager for what eventually became ComponentOne, a division of GrapeCity. While there, I helped to create ActiveReports 7, GrapeCity ActiveAnalysis, and Data Dynamics Reports.


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