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Tipsheet

The Outlet Employing 'Journalist' Holding Israeli Hostages in Gaza Is Tax-Exempt in U.S.

The Outlet Employing 'Journalist' Holding Israeli Hostages in Gaza Is Tax-Exempt in U.S.
AP Photo/Leo Correa

On Saturday, Israeli forces launched a heroic broad-daylight raid on Nuseirat in central Gaza, successfully rescuing four hostages from Hamas terrorist captivity after eight months. Video from the daring operation shows the Israeli forces and hostages under heavy gunfire from terrorists and members of the IDF and Israel police returning fire — killing multiple terrorists. 

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One of the Hamas barbarians who got taken out: Abdallah Aljamal a "journalist" who was holding three of the hostages rescued on Saturday by Israel — 21-year-old Almog Meir, 27-year-old Andrey Kozlov, and 40-year-old Shlomi Ziv — in his family's home in Nuseirat. 

This "journalist" had a bio on Al Jazeera and wrote for The Palestine Chronicle — when he wasn't doing terrorism, of course — and while it's unsurprising that a terrorist would be a known Al Jazeera entity, the latter outlet is raising eyebrows and questions here in the U.S. 

As it turns out, The Palestine Chronicle is part of the People Media Project, an organization that enjoys tax-exempt status in the United States — but not for long if House Ways and Means Committee Chairman Jason Smith (R-MO) has his way. 

In a letter to Biden's IRS Commissioner Daniel Werfel, Smith demands that the People Media Project have its tax-exempt status revoked. 

"Terrorism and support for terrorism are not exempt purposes set forth in Section 501(c)(3) of the Internal Revenue Code (‘IRC’), and the American people will not tolerate providing generous tax benefits to organizations that support terrorism," Smith's letter begins. "I write today to refer the People Media Project—an organization that is known publicly as The Palestine Chronicle—for revocation of its tax-exempt status." 

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Related:

ISRAEL

More from Smith's letter to the IRS: 

It was recently reported that a "journalist" for The Palestine Chronicle, located in the Gaza strip, was not really a journalist at all. Rather, he was a terrorist, and he actively held Israeli civilians as hostages in his home. Despite being an active combatant and a likely member of Hamas—which is a U.S. designated terrorist organization—it appears that he may have been getting paid by the People Media Project using tax free dollars…

The facts suggest that the People Media Project is not being operated exclusively for its charitable purpose, as required under section 501(c)(3) of the IRC and is instead circumventing its tax-exempt charitable purpose by supporting the terrorist organization, Hamas.

In addition to the prohibitions of Section 501, the IRS also notes that violations of the law are an "antithesis of the public good" and, as such, may be a bar to tax-exemption. Not only has the IRS found the mere conducting of illegal activities to be inconsistent with tax-exemption, but it has also stated that the "planning and sponsoring of such activities are also incompatible with charity and social welfare."

Explaining the precedent for such a revocation, Smith notes that "the IRS previously revoked the tax-exempt status of organizations suspected of supporting terrorist organizations under the notion that providing material support to terrorist organizations is illegal." Those revocations, he continues, came "after public reporting suggested that the organization provided material support to a terrorist organization and because the nonprofit did not how that it directed its funding exclusively for charitable purposes as required..."

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