American Indian Tribes Challenge IRS

American Indian tribes say the Internal Revenue Service was crossing the line into their territory, and they wanted the agency to pull back. Tribal leaders told a Senate panel yesterday that the IRS was fishing for revenue by taxing housing, school clothes, burial aid and other services that the tribes provide their members. They said that infringes on tribal sovereignty and violates treaties between the tribes and the United States. But the IRS said it was talking with tribes and gathering recommendations from members. The agency said the rules governing what it can tax are too foggy.