To: American Spirit who wrote (78338 ) 9/18/2006 5:36:24 PM From: Crimson Ghost Read Replies (2) | Respond to of 173976 IRS STARTS GOING AFTER LIBERAL CHURCHES LOUIS SAHAGUN, LA TIMES - The Internal Revenue Service on Friday ordered a liberal Pasadena parish to turn over all the documents and e-mails it produced during the 2004 election year with references to political candidates. All Saints Episcopal Church and its rector, the Rev. Ed Bacon, have until Sept. 29 to present the sermons, newsletters and electronic communications. The IRS investigation was triggered by an antiwar sermon delivered by its former rector, the Rev. George F. Regas, at the church two days before the 2004 presidential election. The summons even requests utility bills to establish costs associated with hosting Regas' speech. Bacon was ordered to testify before IRS officials Oct. 11. . . Facing the possible loss of his church's tax-exempt status, Bacon said he plans to inform his roughly 3,500 active congregants about the investigation during Sunday's services. Then he plans to seek their advice on whether to comply. "There is a lot at stake here," Bacon said in an interview. "If the IRS prevails, it will have a chilling effect on the practice of religion in America." The congregants will have two choices: consent to the IRS request, or decline, which could result in the matter being referred to the Department of Justice and, possibly, U.S. District Court in Los Angeles, All Saints' lead attorney Marcus Owens said. . . Rep. Adam B. Schiff (D-Burbank), who unsuccessfully tried to launch a Government Accountability Office investigation into the IRS' probes of churches nationwide last year, called the summons "a very disturbing escalation" of the agency's scrutiny of All Saints. . . The view was echoed by the Rev. Bob Edgar, an ordained elder in the United Methodist Church and general secretary of the National Council of Churches USA. "I'm outraged," he said. "Preachers ought to have the liberty to speak truth to power.". . . In July, the IRS warned 15,000 tax-exempt groups across the nation, including churches and nonprofit organizations, to stay neutral on politics. latimes.com