IRS Allows Churches to Endorse Candidates Maintaining Tax-Exempt Status

President Donald Trump has praised a recent IRS court filing that effectively allows churches to endorse political candidates without losing their tax-exempt status, marking a significant shift from the longstanding enforcement of the Johnson Amendment. The IRS clarified that political endorsements made in religious services are considered private communications and thus not violations of the amendment, a move Trump celebrated as restoring religious freedom and empowering faith leaders to openly discuss politics. While Trump and right-wing Christian media figures have welcomed this change, arguing it unshackles churches, critics like the National Council of Nonprofits warn it could radically alter campaign finance laws by enabling political operatives to exploit tax-exempt status for funneling money to candidates. Trump highlighted that during his 2016 campaign, faith leaders were barred from publicly endorsing him, underscoring his longstanding opposition to the Johnson Amendment and efforts to ease its restrictions during his presidency. The Biden administration, by contrast, had defended the amendment's constitutionality, emphasizing that tax benefits should not subsidize political activity. Despite the filing, some religious leaders do not anticipate a substantial increase in political endorsements from churches.