ADVERTISEMENT
Advertise Here
Archive

Eye On Boise

Could it be taxable?

Idaho Democratic Party Chairman Richard Stallings has written a formal letter to the IRS asking whether, if a public official spends campaign money for personal expenses, that money becomes taxable income.

Attached to his Aug. 12 letter were copies of Gov. Dirk Kempthorne’s latest campaign finance report and of newspaper articles about the report. “It would appear that a significant number of the expenditures are of a particularly personal nature,” Stallings wrote to Mark W. Everson, commissioner of the IRS. He cited a December, 2004 expenditure of $81.70 at a bookstore at Sun Valley; a $173 charge at the U.S. Senate gift shop in January; a charge for flowers in Boise in February; a $3.98 charge at Starbucks in Washington, D.C. on Feb. 27; and charges at Boise stores including Ridley’s grocery story, Idaho Camera and the Chocolate Bar, a downtown sweetshop.

“The issue, Commissioner Everson, is this: are such obviously personal expenditures when financed by a third party or parties, in this case campaign contributions, subject to federal taxation? I am under the impression that when an individual is able to supplement his or her personal income, from whatever source, and then utilize those resources for personal benefit, that such income must be reported to the IRS and would be subject to federal and state income tax laws,” wrote Stallings, a former four-term Idaho congressman.

Stallings requested an IRS review, and “in order to inform the citizens of Idaho, a statement as to whether such expenditures, which are claimed as a legitimate function of a public officeholder are, in fact, in compliance with federal tax law.”

Please keep it civil. Don't post comments that are obscene, defamatory, threatening, off-topic, an infringement of copyright or an invasion of privacy. Read our forum standards and community guidelines.

You must be logged in to post comments. Please log in here or click the comment box below for options.

comments powered by Disqus
« Back to Eye On Boise

Get blog updates by email

About this blog

Betsy Z. Russell covers Idaho news from The Spokesman-Review's bureau in Boise.

Named best state-based political blog in Idaho for 2013 by The Fix

Latest comments »

Read all the posts from recent conversations on Eye On Boise.

Search this blog
Subscribe to this blog
ADVERTISEMENT
Advertise Here