Form 1023: Information about Payments to Third Parties for Assistance in Creating Organization

Why does Form 1023 ask for information about payments to third parties for assistance in creating the organization?

Obtaining information about potential tax avoidance transactions is one of the goals of Form 1023.  These transactions may include improper business dealings between the applicant and its top officials, excessive compensation arrangements, fundraising involving such areas as vehicle donations and conservation easements, and foreign grants and operations. 

Tax advisors who promote abusive tax avoidance transactions are subject to penalties.