IRS Allows Churches to Endorse Candidates Without Losing Tax-Exempt Status

The IRS has reversed its 70-year enforcement of the Johnson Amendment, now allowing churches to endorse political candidates without risking their tax-exempt status, as confirmed in a recent court filing settling a lawsuit by Texas churches and broadcasters. The agency stated that pastoral endorsements made in good faith during regular worship are akin to a family discussion and do not constitute political intervention. This shift has sparked debate, with critics warning it could open the door to political manipulation and dark money, potentially turning churches into campaign hubs, while advocates see it as a restoration of free speech and religious expression. The United States Conference of Catholic Bishops, however, has affirmed that the Catholic Church will continue not to endorse political candidates, emphasizing its role in helping Catholics form conscience rather than engaging in political campaigns. Civil rights leader Rev. Al Sharpton cautioned that Black churches must be protected from disproportionate targeting as right-wing congregations might exploit the new policy. The change marks a significant shift in the church-state divide and has been characterized by some as removing a politically motivated restriction introduced by Senator Lyndon Johnson in 1954.