At Cost Services, Inc. - Page 12

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          in the temporary service field.  Petitioner is indistinguishable            
          from the corporation in B.S.W. Group.                                       
               Furthermore, petitioner does not qualify as a section                  
          501(c)(3) exempt organization because it benefits the private               
          interests of its founder, Fondel, and of the LLC more than                  
          incidentally.  Petitioner submitted documents in the                        
          administrative record that state:  First, in 1994, petitioner               
          paid $6,240 for an apartment that serves as the office of                   
          petitioner and of the LLC and as the personal residence of                  
          Fondel; second, any income of petitioner remaining after the                
          expenses of petitioner and of the LLC are paid passes to Fondel;            
          and, third, Fondel uses petitioner to market his own services as            
          a temporary service worker.  These nonexempt practices prevent              
          petitioner from qualifying as a section 501(c)(3) exempt                    
          organization.  See Better Bus. Bureau v. United States, 326 U.S.            
          279 (1945).  Petitioner attempted to retract these statements               
          after the Commissioner determined that these items would preclude           
          petitioner from qualifying as a section 501(c)(3) organization.             
          However, we review the administrative record in its entirety.               
               Citing the 13th and 14th Amendments to the Constitution,               
          petitioner argues that respondent, in violation of petitioner’s             
          equal protection rights, denied its application for tax-exempt              
          status because the sole founder, director, and officer of                   
          petitioner is a black male.                                                 

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