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Boardman FOP Lodge treasurer stresses importance of having tax-exempt status
BOARDMAN
The treasurer of Fraternal Order of Police Lodge 43 in Boardman says the organization needs to have its tax-exempt status.
Lodge 43, however, is one of several hundred local organizations, including four other FOP lodges, that lost it.
The Internal Revenue Service has released a list of nonprofit organizations that lost their tax-exempt status because representatives failed to file required annual reports for three-consecutive years, said Mark Hanson, IRS spokesman.
Under the Pension Protection Act of 2006, every organization is required to file annual reports, regardless of annual income.
Boardman patrolman Daryn Tallman, who became FOP Lodge 43 treasurer in January, said he had “no idea” there was a problem until contacted by The Vindicator. Tallman said that Michael Klim of MJK Financial in Poland has handled the FOP’s taxes for at least eight years.
Klim, who also is the former mayor of New Middletown, said, “Either the IRS lost the reports or they didn’t end up getting there.”
Other nonprofit organizations that have lost their tax-exempt status have said they were unaware they had to file it. Klim said “people know about this annual report” and that he has filed it for the FOP ever since it became a requirement.
“It’s not like this stuff hasn’t been done,” Klim said, adding, “Everything should be squared soon.”
Jennifer Jenkins, IRS spokeswoman, said the law restricts her from responding to Klim’s claim that the IRS could have lost the paperwork.
“I can’t rebut any claims or statements made,” she said.
Several complaints have been filed against Klim with Poland village police alleging he did not complete customers’ taxes and would not return their tax documents. The matter was referred to Struthers prosecutor Atty. Carol Clemente-Wagner, who said no charges have been filed or are pending against Klim. Struthers Municipal Court handles cases from Poland village and township.
Tallman said the FOP has tried to contact Klim several times with various amounts of success. Tallman said that when the accountant was reached, he said the IRS is holding up the process.
When The Vindicator attempted to contact Klim with follow-up questions Friday, the business phone number was disconnected.
“Our next step is to demand the paperwork back to have another tax preparer complete it,” Tallman said. “... Our preference would be for Klim to just correct everything on his own expeditiously, but we can’t just sit around and hope that happens.”
Tallman said he was “definitely concerned” about the complaints against Klim and that the FOP plans to draft a certified letter at its meeting this week demanding the return of its tax information.
Campbell, Struthers and Liberty FOP lodges also were on the IRS list. Tallman said it’s important for the FOP to have tax-exempt status, especially with an October fundraiser fast approaching.
The tax-exempt status “allows us to accept donations at our annual fundraisers and allows people who donate to have it as a [tax] write-off, and we don’t have to pay taxes on the donations,” Tallman said.
The Boardman FOP has donated money to charitable organizations, such as the American Cancer Society Relay For Life and Michael Hartzell Scholarship Fund, and given funds to injured officers in departments throughout Mahoning County.
The Boardman FOP is not the collective-bargaining agent for the police. The three township police department unions are represented through the Ohio Patrolmen’s Benevolent Association.