I.R.C. § 6711(a) Imposition Of Penalty —
If--
I.R.C. § 6711(a)(1) —
a tax-exempt organization offers to sell (or solicits money for) specific information
or a routine service for any individual which could be readily obtained by such individual
free of charge (or for a nominal charge) from an agency of the Federal Government,
I.R.C. § 6711(a)(2) —
the tax-exempt organization, when making such offer or solicitation, fails to make
an express statement (in a conspicuous and easily recognizable format) that the information
or service can be so obtained, and
I.R.C. § 6711(a)(3) —
such failure is due to intentional disregard of the requirements of this subsection,
such organization shall pay a penalty determined under subsection (b) for each day
on which such a failure occurred.
I.R.C. § 6711(b) Amount Of Penalty —
The penalty under subsection (a) for any day on which a failure referred to in such
subsection occurred shall be the greater of--
I.R.C. § 6711(b)(1) —
$1,000, or
I.R.C. § 6711(b)(2) —
50 percent of the aggregate cost of the offers and solicitations referred to in
subsection (a)(1) which occurred on such day and with respect to which there was
such a failure.
I.R.C. § 6711(c) Definitions —
For purposes of this section--
I.R.C. § 6711(c)(1) Tax-Exempt Organization —
The term “tax-exempt organization” means any organization which--
I.R.C. § 6711(c)(1)(A) —
is described in subsection (c) or (d)
of section 501 and exempt from taxation under section 501(a), or
I.R.C. § 6711(c)(1)(B) —
is a political organization (as defined in section 527(e)).
I.R.C. § 6711(c)(2) Day On Which Failure Occurs —
The day on which any failure referred to in subsection
(a) occurs shall be determined under rules similar to the rules of section 6710(d).
(Added Pub. L. 100-203, title X, 10705(a), Dec. 22, 1987, 101 Stat. 1330-463.)
Background Notes
Effective Date
Section 10705(c) of Pub. L. 100-203 provided that: “The amendments made by this section
[enacting this section] shall apply to offers and solicitations after January 31,
1988.”
