A 501(c)(3) organization providing down payment assistance to purchasers of FHA financed homes has lost its charitable exempt status retroactively. The Tax Court has upheld an IRS ruling that it did not operate exclusively for charitable purposes. Partners in Charity, Inc. was created in 2000 by Charles Konkus, a real estate developer in Chicago. The organization provided funds to home buyers who needed help in meeting down payment requirements. He acquired the money to provide that help from home sellers, who matched the down payment help and paid an additional service fee. The payment to Partners was made at the closing on the purchase so that there was no opportunity for the seller to...