Executive Order Permitting Political Campaign Intervention Expected to Have Limited Effect for Private Foundations; Excise Taxes Still Matter
Author: Katherine E. David.
Source: Volume 16, Number 04, May/June 2017 , pp.1-3(3)
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Abstract:
On May 4, 2017, President Trump signed his Executive Order Promoting Free Speech and Religious Liberty (the “Order”). Although some have taken this to mean that the IRS will no longer enforce prohibitions on political action by 501(c)3 organizations, this article explains how and why these interpretations are fanciful. Key to understanding the impact of the order is the phrase “to the extent permitted by law,” indicating that the IRS continues to bound by current law and that only its discretionary powers are affected.Keywords: Political Expenditures by Private Foundations; Johnson Amendment; IRC §4955
Affiliations:
1: Strasburger & Price, LLP.