Without probable cause of a CRIME having been committed and a warrant based thereon, neither the IRS nor any government agency should be searching or monitoring ANYTHING as we all have the right to be left to live our lives in peace and secure in our persons and property.
Yet another reason the IRS code has to be repealed. The raising of money does not give the government authority to raise revenue in a way that involves government collecting and knowing about personal business of citizens.
Unfortunately, the author if this article picked a bad example of a case where the IRS has engaged in behavior that might be considered intrusive. A homeowners association that presents itself as a 501(c)(4) corporation has to attest to certain things when it gets its tax-exempt status. In this case it sounds like the association is going to owe a lot of money in back taxes, interest and penalties if they are lucky. The worst-case scenario is that the IRS pursues a criminal prosecution for tax fraud.