Lois Lerner, the IRS's director of tax-exempt organizations, told a gathering of lawyers representing charities Monday that scrutiny of nonprofits' pay practices is likely to increase.
Ms. Lerner said a recent IRS report on nonprofit hospital pay "raised some eyebrows." The report, which surveyed 489 institutions, found pay for the top official at nonprofit hospitals averaged $490,000 a year. Among a select 20 hospitals that paid relatively higher amounts, the compensation figure averaged $1.4 million. The IRS declined to name the hospitals.
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For example, according to the Shriners 2006 990, the Shreveport SHC chief of staff makes $1.175 million with another $32K in contributions. The Los Angeles SHC chief of staff makes just over $1 million a year with another $37K in contributions.
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