ProPublica Uncovers Crossroads IRS Application From June 2010 until Dec. 2011, leading up to the presidential election season, Karl Rove's Crossroads GPS spent $64.7 million, according to ProPublica. Of that money, a grand total of $1.4 million, or 2 percent, was spent on what Crossroads identified as "research." Yet in 2010 Crossroads applied for tax-exempt status as a 501 (c) 4 "social welfare organization" and specified on its application - which ProPublica obtained from the IRS - that 20 percent of its money would be spent on research, 50 percent on public education and 30 percent on "activities to influence legislation and policy making." The group said it "may in the future develop and/or distribute independent political communications," but that "any such activity would be limited in amount and will not constitute the organization's primary purpose." In 2012, according to ProPublica, Crossroads GPS spent more than $70 million on ads and phone calls created to promote Republican candidates (like Mitt Romney). Then it spent another $50 million on ads attacking President Obama outside the FEC's reporting window. Its twisted sister organization, American Crossroads, spent almost $105 million on ads during the 2012 campaign cycle. It's long been obvious that groups like Crossroads were going beyond any reasonable interpretation of the law in claiming to be "social welfare" groups that operate independently of political parties and individual campaigns. These groups are required by law to limit those activities to a very small part of their work in order to qualify for tax-exempt status, and to shield their donors from disclosure requirements. Apparently the IRS has not yet officially approved Crossroads' request for tax-exempt status. The discrepancy between the document ProPublica obtained and Crossroads' activities during the campaign season demonstrates, beyond a non-hack's doubt, that it shouldn't. If Mr. Rove makes off with the "social welfare" label, it will be a scandal.