Special to the JTA Irs Denies Tax Exemption to Black Pro-israel Group, Citing Its Purpose is ‘advoca

If the Internal Revenue Service (IRS) has its way, BASIC (Black Americans to Support Israel Committee) may be forced to close shop. According to Bayard Rustin, director of BASIC, the IRS on Aug. 26 denied the organization’s request for exemption from federal income tax. In a letter sent out to supporters of the two-year-old organization, Rustin included the reason given by the IRS for its denial.

“You clearly advocate,” the IRS was quoted as saying, “positions and viewpoints favorable to Israel. The amount of factual background material given in support of your position varies depending upon the particular speech or publication, but in general you do not present fully all facts including those damaging to Israel’s position but instead selectively present those facts which are favorable to Israel. Your purpose appears to be advocacy rather than education.”

Rustin said BASIC feels the denial of tax exemption is unjust and “we are appealing the ruling.” What the IRS is saying by denying tax exemption “is that our activities attempt to influence the actions of those persons who are anti-Israel,” Rustin said. BASIC, he asserted, “will continue to support and defend Israel against the tides of hatred.”

GROUP DEFENDS ITS POSITIOR

Rustin also noted that BASIC plays a pivotal educational role in the Black community regarding the nature of Zionism and Israel. Few Blacks, he said, “are well informed about Israel and the nature of the Middle East conflict. They are subject to the often confusing and inadequate presentation of issues by the media, and pressures from extremists and Black nationalists.” BASIC has engaged in educational activities to explain and clarify these issues since it was formed, he said.

A spokesperson for BASIC said that the organization did not have tax exempt status in the past but filed for this status last month. The IRS response followed. The spokesperson said BASIC’s appeal is now in the hands of a lawyer. The spokesperson also noted that if the appeal is lost, BASIC’s ability to function effectively will be undermined. The spokesperson said a number of alternatives may be possible if the appeal is lost but declined to provide details, noting that Rustin is in Israel and is not due back until next week. No IRS official was available for immediate comment.

Rod Young, a spokesman for the IRS Public Affairs Department in Washington, would not comment directly on the BASIC case. But he cited to the Jewish Telegraphic Agency parts of IRS Code, Section 501 (C) (3) which, he said, could be pertinent. This section defines an educational organization as follows:

“An organization may be educational even though it advocates a point of view so long as it presents a sufficiently full and fair exposition of the pertinent facts as to permit an individual or the public to form an independent opinion or conclusion. On the other hand, an organization is not educational if its principal function is the presentation of unsubstantiated opinion.”