His blood-boiling chapter on nonprofit fraud will make you wonder if the IRS ever checks on these miscreants, especially those with the word “veteran” in the title. Well actually, Stern says, it doesn’t. It is the very rare and very unlucky nonprofit thief who gets caught. Less than one percent of all nonprofit tax returns are even reviewed. And nonprofit theft is pervasive, we learn:
The average charitable theft is estimated to be $100,000, meaning that money is walking out in large chunks. Given that the average bank robber in the United States gets away with only about $4,000 and runs a far higher risk of apprehension, one might expect that in a sensible theft marketplace, more people would be attracted to the soft targets of charities.
Previous Dish on Stern’s book here.