The Obama administration Tuesday launched a bid to rein in the use of tax-exempt groups for political campaigning.
The effort is an attempt to reduce the role of loosely regulated big-money political outfits like GOP political guru Karl Rove’s Crossroads GPS and the pro-Obama Priorities USA.
The Internal Revenue Service and the Treasury Department said they want to prohibit such groups from using “candidate-related political activity” like running ads, registering voters or distributing campaign literature as activities that qualify them to be tax-exempt “social welfare” organizations.
The agencies say there will be a lengthy comment period before any regulations will be finalized. That means groups like Crossroads and Priorities USA will be able to collect millions of dollars from anonymous donors ahead of next year’s campaign.