Changes

The IRS re-opened the audit. Nixon again asked the JCT to look into the matter. By then, the notorious [[segregation]]ist Sen. Sam Ervin was becoming an afternoon television matinee idol of the left with his Senate Watergate Hearings.

The IRS re-opened the audit. Nixon again asked the JCT to look into the matter. By then, the notorious [[segregation]]ist Sen. Sam Ervin was becoming an afternoon television matinee idol of the left with his Senate Watergate Hearings.

The second IRS and JCT audits disallowed the charitable deduction and found a tax deficiency. Congressman [[Wilbur Mills]] of Arkansas, who co-chaired the JCT and later resigned from Congress in a sex scandal of his own, predicted the findings would force Nixon to resign.<ref>[http://www.taxhistory.org/thp/readings.nsf/ArtWeb/F8723E3606CD79EC85256FF6006F82C3?OpenDocument President Nixon's Troublesome Tax Returns], William D. Samson, April 11, 2005.  www.taxhistory.org/</ref> Nixon agreed to pay $465,000 in back taxes, which cut Nixon's net worth in half.  Neither the JCT or IRS accused Nixon of [[fraud]], but the House Judiciary Committee made a public announcement that it might investigate Nixon for the possibility of tax fraud.<ref>[[John Dean]] later wrote: "By a vote of 26 to 12, the House Judiciary Committee decided against including an article in the bill of impeachment charging Nixon with tax fraud. And President Ford's pardon eliminated any risk of a criminal tax prosecution. But nothing hurt Nixon more in the public's eyes. The public understood tax fraud, and in particular, the backdating of a document such as Nixon's deed of gift." [http://writ.news.findlaw.com/dean/20030425.html  Reviving The Creative Works Tax Deduction: Why the CARE Act, Pending In Congress, Should Be Made Law], By JOHN W. DEAN, Apr. 25, 2003.  writ.news.findlaw.com</ref>  A 26 year old staffer, future [[Hillary Clinton First Lady|First Lady]] and [[United States presidential election, 2016|Democratic nominee for President]], [[Hillary Rodham Clinton]], served as a researcher for the Committee.<ref>[https://www.bloomberg.com/politics/features/2015-11-05/how-richard-nixon-created-hillary-clinton How Richard Nixon Created Hillary Clinton], Sam Tanenhaus, Nov 5, 2015. bloomberg.com</ref> In the immediate aftermath of the resignation, Congress established the National Study Commission on Records and Documents of Federal Officials (88 Stat. 1698), also known as the Public Documents Commission chaired by former [[Attorney General]] Herbert Brownell. The panel was tasked to : {{quotebox|"study the problems with respect to control, disposition, and preservation of records and documents produced by or on behalf of, Federal Officials".<ref>[https://books.google.com/books?id=KdsUcUIJcLEC&pg=PA304&lpg=PA304&dq=National+Study+Commission+on+Records+and+Documents+of+Federal+Officials+%2888+Stat.+1698%29.&source=bl&ots=36y0mVXBQR&sig=Abit0wB_6FQ94UdBeOW5nEgolng&hl=en&sa=X&ved=0ahUKEwjlg5PPu5TNAhUQ4GMKHddBDBcQ6AEIHTAA#v=onepage&q=National%20Study%20Commission%20on%20Records%20and%20Documents%20of%20Federal%20Officials%20%2888%20Stat.%201698%29.&f=false Statutory Law and Intelligence 2011], David Alan Jordan.</ref>}}

The second IRS and JCT audits disallowed the charitable deduction and found a tax deficiency. Congressman [[Wilbur Mills]] of Arkansas, who co-chaired the JCT and later resigned from Congress in a sex scandal of his own, predicted the findings would force Nixon to resign.<ref>[http://www.taxhistory.org/thp/readings.nsf/ArtWeb/F8723E3606CD79EC85256FF6006F82C3?OpenDocument President Nixon's Troublesome Tax Returns], William D. Samson, April 11, 2005.  www.taxhistory.org/</ref> Nixon agreed to pay $465,000 in back taxes, which cut Nixon's net worth in half.  Neither the JCT or IRS accused Nixon of [[fraud]], but the House Judiciary Committee made a public announcement that it might investigate Nixon for the possibility of tax fraud.<ref>[[John Dean]] later wrote: "By a vote of 26 to 12, the House Judiciary Committee decided against including an article in the bill of impeachment charging Nixon with tax fraud. And President Ford's pardon eliminated any risk of a criminal tax prosecution. But nothing hurt Nixon more in the public's eyes. The public understood tax fraud, and in particular, the backdating of a document such as Nixon's deed of gift." [http://writ.news.findlaw.com/dean/20030425.html  Reviving The Creative Works Tax Deduction: Why the CARE Act, Pending In Congress, Should Be Made Law], By JOHN W. DEAN, Apr. 25, 2003.  writ.news.findlaw.com</ref>  A 26 year old staffer, future [[Hillary Clinton First Lady|First Lady]] and [[United States presidential election, 2016|Democratic nominee for President]], [[Hillary Rodham Clinton]], served as a researcher for the Committee.<ref>[https://www.bloomberg.com/politics/features/2015-11-05/how-richard-nixon-created-hillary-clinton How Richard Nixon Created Hillary Clinton], Sam Tanenhaus, Nov 5, 2015. bloomberg.com</ref> In the immediate aftermath of the resignation, Congress established the National Study Commission on Records and Documents of Federal Officials (88 Stat. 1698), also known as the Public Documents Commission chaired by former [[Attorney General]] [[Herbert Brownell]]. The panel was tasked to : {{quotebox|"study the problems with respect to control, disposition, and preservation of records and documents produced by or on behalf of, Federal Officials".<ref>[https://books.google.com/books?id=KdsUcUIJcLEC&pg=PA304&lpg=PA304&dq=National+Study+Commission+on+Records+and+Documents+of+Federal+Officials+%2888+Stat.+1698%29.&source=bl&ots=36y0mVXBQR&sig=Abit0wB_6FQ94UdBeOW5nEgolng&hl=en&sa=X&ved=0ahUKEwjlg5PPu5TNAhUQ4GMKHddBDBcQ6AEIHTAA#v=onepage&q=National%20Study%20Commission%20on%20Records%20and%20Documents%20of%20Federal%20Officials%20%2888%20Stat.%201698%29.&f=false Statutory Law and Intelligence 2011], David Alan Jordan.</ref>}}

=== Watergate ===

=== Watergate ===