IRS supports tax-exempt status for churches endorsing political candidates
- The IRS announced that pastors can endorse political candidates from the pulpit without risking tax-exempt status.
- This ruling calls for an interpretation of the Johnson Amendment that favors religious organizations.
- The decision may lead to increased political activity within churches, raising concerns about the separation of church and state.
In July 2025, the IRS made a significant statement regarding tax-exempt organizations, particularly churches in the United States. The tax collection agency contended that pastors endorsing political candidates from their pulpits should not have to worry about penalties such as losing their tax-exempt status. This announcement came during an ongoing court case in Texas, where the IRS, along with the National Religious Broadcasters Association and other plaintiffs, filed a joint statement urging the court to modify the interpretation of the Johnson Amendment. This 1954 amendment to the U.S. tax code prohibits tax-exempt organizations, including religious congregations, from supporting or opposing political candidates. The joint filing proposed that communications from a house of worship to its congregation regarding electoral matters should not invoke penalties under this amendment.