Now that this election season is basically over, this article covers an issue I wondered a lot these past few weeks.
Nonprofits, specifically churches, have been quite vocal this election season. While I was under the impression that in order to maintain their nonprofit status, they needed to remain politically neutral, churches in my area are increasingly emboldened to not only preach politics, they’re actually endorsing candidates.
But what about their nonprofit status?
The IRS monitors religious and other nonprofits on everything from salaries to spending, and that oversight continues. However, Russell Renwicks, a manager in the IRS Mid-Atlantic region, recently said the agency had suspended audits of churches suspected of breaching federal restrictions on political activity. A 2009 federal court ruling required the IRS to clarify which high-ranking official could authorize audits over the tax code’s political rules. The IRS has yet to do so.
In fact, there haven’t been any IRS investigations in the past three years on these violations.
“The impression created is that no one is minding the store,” said Melissa Rogers, a legal scholar and director of the Center for Religion and Public Affairs at Wake Forest University Divinity School in North Carolina. “When there’s an impression the IRS is not enforcing the restriction — that seems to embolden some to cross the line.”
So, what can nonprofits legally do?
The tax code allows a wide range of political activity by houses of worship, including speaking out on social issues and organizing congregants to vote. But churches cannot endorse a candidate or engage in partisan advocacy. The presidential election has seen a series of statements by clergy that critics say amount to political endorsements. Religious leaders say they are speaking about public policies, not candidates, and have every right to do so.
Here’s how the article concludes:
Last month, more than 1,500 pastors, organized by the Alliance Defending Freedom, endorsed a candidate from the pulpit and then sent a record of their statement to the IRS, hoping their challenge would eventually end up in court. The Alliance has organized the event, called “Pulpit Freedom Sunday,” since 2008. The IRS has never contacted a pastor involved in the protest.
“I think people are misled to think the IRS wakes up every morning wanting to knock on the door of a church or synagogue,” said Zerbe. “Most senators blanch at the idea of having an IRS agent in the pews listening to what’s going on from the pulpit. … I think the IRS in some ways reflects that similar discomfort.”
