Landmark Legal Foundation today asked the Internal Revenue Service (IRS) to investigate numerous activities by the National Education Association’s Wisconsin affiliate, the Wisconsin Education Association Council (WEAC) that may have violated federal tax law.
WEAC made a total of $430,000 in contributions to the Democratic Legislative Campaign Committee (DLCC) that weren’t reported on WEAC’s tax returns. The DLCC is a political organization formed by the Democratic National Committee to provide funding and logistical assistance to state legislative campaigns around the country. The WEAC contributions, which were reported by the DLCC on its tax filings, were made in 2000 and 2002, and were apparently used by the DLCC to underwrite state legislative campaigns in California and elsewhere.
WEAC is a 501(c)(5) tax-exempt union under the Internal Revenue Code (IRC). As a 501(c)(5), WEAC is required to report and pay federal income tax on almost any general revenue funds used for political purposes, including contributions made by the union to political organizations like the DLCC (called 527s, for the section of the IRC under which they are formed.) WEAC’s own 527, the Wisconsin Education Association Council — Political Action Committee (WEAC-PAC), also did not report the DLCC contributions in question on their tax filings.