EO Director Not High-Level Official for Church Audit Purposes

The US District Court of South Carolina recently ruled that the director of Exempt Organizations Divisions does not hold a high enough rank in the IRS bureaucracy to initiate church tax audits (United States v. Bible Study Time, Inc.). The organization was issued a summons by the IRS which was signed by the Exempt Organizations director, rather than a high-level Treasury official, as delineated in IRS 7611. The court determined that the redelegation of authority was out of compliance with church audit notice requirements.

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