All Saints Church in Pasadena, CA has been sued by the IRS, who is claiming that a sermon given by a guest lector in October 2004 violated IRS regulations regarding the endorsement of a political candidate by a tax-exempt organization. The IRS has threatened to revoke the church's tax-exempt status.
I attend the church and am on their mailing list. This is the latest information they have sent out to their parish:
On September 15, the IRS served All Saints with two summonses--the first, seeking a wide range of documents concerning the October 2004 sermon of George Regas; and the second, the testimony of Ed Bacon about those documents and our policies against campaign intervention. In considering what our appropriate response to the summonses should be, the Vestry and Ed listened to the wise counsel of our parishioners and many of our friends and supporters from outside of our parish, consulted with our legal counsel and clergy staff, and prayerfully considered our two options--compliance now or challenging the summonses first. On September 21, the Vestry voted unanimously to challenge legally, and in a court of law, the right of the IRS to proceed with either of these two summonses.
We made this decision not because we have anything to hide: Indeed, we have reviewed the most relevant of the many documents that the IRS has summoned and believe that they fully support our position that we have always been mindful of the IRS regulations against campaign intervention, respect those regulations, take steps to ensure compliance and have always been in compliance. We believe that All Saints has not engaged in campaign intervention on behalf of any particular candidate or party--not in October 2004 nor at any other time.
Rather, we made this decision because of our belief that these summonses intolerably infringe upon our Constitutional rights and the IRS regulations that embody those principles--namely, the First Amendment rights of our church to speak and worship freely--rights we see as indispensable to our core mission, as well as to that of other faith communities throughout the country.
More available here:
http://www.allsaints-pas.org/saintsalive/aSA-061008a.pdfBackground, including text of the sermon in question available here:
http://www.allsaints-pas.org/all_saints_church.htm