February 21, 2008 | Read Time: 1 minute
For clarification on how it informally investigates organizations after receiving complaints, the IRS has issued two memos.
The first notice describes how the agency checks nonprofit groups to make sure they deserve tax-exempt status and have not violated any laws or regulations that would endanger that status.
The second memo describes how the IRS handles complaints from the public or from other branches of government.
Both memos also explain the informal review process, which differs from a formal investigation because the charity does not have to cooperate and the IRS cannot demand the group turn over any documents.
The fact sheets do not outline or describe any new procedures or regulations, only clarify those already in place.
