To amend the Internal Revenue Code of 1986 to terminate the tax-exempt status of terrorist supporting organizations.
House Bill Would Strip Tax-Exempt Status from Groups That Support Terrorist Organizations
Stalled
No legislative action in over 90 days.
Legislative Progress
Key Points
- Congress would let the Treasury Department strip tax-exempt status from nonprofits labeled as “terrorist supporting organizations.”
- Treasury could make this label if it finds the group gave more than a small amount of “material support” to a terrorist organization within the last 3 years.
- Before losing tax-exempt status, the group must get a mailed notice and has 90 days to show it didn’t provide support or to try to get the support returned and promise not to do it again.
- Groups could challenge parts of the decision in IRS Appeals, and courts could review the designation; judges may see classified evidence privately.
- If enacted, the change would apply to new designations made after the law takes effect, for tax years ending after that date.
Impact Analysis
Personal Impact
How this policy affects specific groups of people
Milestones
Referred to the House Committee on Ways and Means.
Introduced in House
The bill was officially filed and given a number. It now enters the legislative queue.
Votes
No votes have been recorded for this legislation yet.
Related News
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This Bipartisan Bill Could Give Trump Huge Power Against His Enemies
House Resolution 6408 hands the Department of Treasury broad new authority to strip nonprofit organizations of their charitable tax status by creating a new category of 'terrorist-supporting organization.' Civil liberties organizations warn it could have sweeping consequences.
Sweeping nonprofit House bill passes, healthcare groups turn attention to Senate
Legislation that gives a president wide-reaching power to financially harm any nonprofit an administration deems as terrorist supporting passed out of the House. Healthcare nonprofits are concerned the definition of terrorism could be loosely applied to attack ideological enemies.
Source Information
Document Type
Congressional Bill
Official Title
To amend the Internal Revenue Code of 1986 to terminate the tax-exempt status of terrorist supporting organizations.
Data Sources
Sponsor
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