Applications of pro-Israel groups for tax-exempt status are routinely routed to an antiterrorism unit within the Internal Revenue Service for additional screening, according to the testimony of a Cincinnati-based IRS agent.
Asked by investigators whether “all pro-Israel applicants went to the terrorism unit,” Muthert responded, “Probably . . . foreign activity, pro-Israel — if it is any type of foreign activity, it will go to the antiterrorism area.” Screeners like Muthert must consult the list of the Office of Foreign Assets Control, the Treasury Department office that enforces economic and trade sanctions, and “the terrorist list . . . because a lot of organizations will create charities to funnel the money to terrorist countries.”