Allegations of financial mismanagement at Ashley Biden’s charity demand a closer look as questions arise over a $500,000 discrepancy in reported donations.
At a Glance
- Ashley Biden’s charity is accused of not disclosing $500,000 in donations.
- The National Legal and Policy Center has filed a complaint with the IRS.
- Concerns about the charity’s financial reporting and accountability have emerged.
- A possible audit could uncover further financial irregularities.
$500,000 Donation Discrepancy
Ashley Biden’s nonprofit, Women’s Wellness Spa(ce), has come under scrutiny after allegedly failing to report $500,000 in donations to the IRS. This issue was raised by the National Legal and Policy Center (NLPC), a watchdog group, asserting the charity neglected to document significant financial contributions for the year 2023. Concerns emerge as the charity’s reported contributions totaled only $170,296, a stark contrast to known donations from high-profile sources.
The charity, established in 2023, reportedly secured $250,000 each from Meghan Markle and Prince Harry’s Archewell Foundation, along with the Silicon Valley Community Foundation. However, Ashley Biden, who signed the charity’s tax filing under penalty of perjury, failed to document these high-value contributions as required, prompting an official complaint to the IRS.
IRS Complaint Filed Against Ashley Biden; What Happened to Prince Harry’s $250K?
IRS Audit and What’s at Stake
The NLPC has called for an IRS audit to verify potential omissions or inaccuracies in Ashley Biden’s nonprofit financial records. The discrepancy violates IRS regulations, which mandate transparent reporting on contributions exceeding $5,000. The group urges the IRS to carefully examine the missing funds and ensure compliance with federal tax laws. Ashley Biden’s possible underreporting may be a broader issue if other donations or grants have also gone unreported.
“The IRS must conduct a full investigation and audit of Women’s Wellness Space, including deposing Ashley Biden, to find out what happened to the $250,000 given to Ms. Biden’s group from the Archewell Foundation and to assess appropriate civil and criminal penalties because Ms. Biden submitted and signed the Form 990 under penalty of perjury.” – NLPC Counsel Paul Kamenar
Greg Mangasarian, an accountant for the charity, argues the donations were pledged in 2023 but largely distributed in 2024. However, the NLPC challenges this accounting method, emphasizing the importance of reporting contributions in the pledged year, as dictated by the accrual accounting principle.
Impact and Future of the Nonprofit
While Women’s Wellness Spa(ce) aims to provide vital resources for women who have experienced trauma, these allegations cast doubt on its operational integrity. The charity predominantly operates through an Instagram account, showcasing a limited online presence. Nevertheless, the comprehensive resources offered, like meditation and therapy, align with Ashley Biden’s mental health and community support initiatives.
“Drawing from her experience with the criminal justice system, (Ashley) Biden’s initiative is inspired by her work with Mural Arts’ Women’s Reentry Program, providing support and opportunities for formerly incarcerated women. The center aims to offer a safe haven and community for women impacted by trauma, providing resources such as nutritious food, exercise, meditation, and therapeutic interventions.” – Archewell Impact Report
The evolving narrative surrounding Ashley Biden’s organization stresses the critical need for transparency. An investigation and subsequent audit could determine the severity of non-compliance and guide necessary corrective actions for future accountability.
