What reporters should know about the Weekly Standard's bogus Goolsbee scandal

A few weeks ago we noted how The Weekly Standard invented a scandal, alleging that Council of Economic Advisers Chairman Austan Goolsbee had done something wrong by referencing the tax status of some of Koch Industries' businesses.

Goolsbee had commented, “So in this country we have partnerships, we have S corps, we have LLCs, we have a series of entities that do not pay corporate income tax. Some of which are really giant firms, you know Koch Industries is a multibillion dollar businesses.” The Weekly Standard's John McCormack suggested that Goolsbee may have illegally obtained this information by accessing the company's tax filings. Even Koch Industries wasn't willing to allege any wrongdoing on Goolsbee's part, and the information Goolsbee used is actually on Koch's own website.

Today Washington Post's Ed O'Keefe writes about a review of Goolsbee's comments by the Treasury Department's Inspector General for Tax Administration (TIGTA), triggered by Republican senators and apparently the Standard story:

Federal tax watchdogs plan to review allegations that Council of Economic Advisers Chairman Austan Goolsbee may have illegally accessed the confidential tax information of Koch Industries Inc., a privately held firm owned and operated by brothers Charles and David Koch, who generously bankroll conservative causes.

A group of Senate Republicans, led by Charles E. Grassley (R-Iowa), announced Wednesday that the Treasury Inspector General for Tax Administration plans to review the allegations against Goolsbee. But TIGTA sources stressed the office is only reviewing the allegations and has not determined whether it will launch a more formal investigation.

O'Keefe adds this key information to his post:

Goolsbee's statement wasn't based on any review of the company's tax filings, but merely a repetition of something he recalled reading, the White House said.

...

Whether senior Senate Republicans really think one of President Obama's closest and most vocal economic advisers might have violated a federal law or are merely attempting to gin up controversy with just four weeks until midterm elections ... well, that's for y'all to discuss in the comments section below.

The Post wrote this story noting the political motivations behind it. If any other members of the media report on the issue, they will hopefully provide the full context around the allegations.