A Tea Party group in Minnesota was specifically targeted by the IRS due to its political affiliation with the Tea Party movement. Rochester Tea Party Patriots originally filed for 501(c)(3) status in 2009 using a Certified Public Accountant and after months of not hearing from the IRS, they called the agency. The IRS denied receiving the application, so the group then re-filed and sent the paperwork via Express mail. Once again, the IRS did not inform the group of their application status and would not return numerous calls. The group eventually sought legal counsel and filed a formal complaint on the IRS, joining several other groups around the nation.
There were two major issues with what the group experienced. First, in order to be designated as tax-exempt, the organization eventually filed as a 501(c)(4) organization which did not allow donors to write off donations on their personal income tax filings. This affected several people who would have likely contributed more to the cause. Secondly, other Tea Party groups aligned with the Tea Party Patriots organization were planning on also filing as a 501(c)(3) organization until they witnessed the problems that the Rochester Tea Party Patriots experienced.
Disclosure: Rochester Tea Party Patriots is a separate entity and is not affiliated with the MN Tea Party PAC.