IRS Allows Churches Political Endorsements Without Tax Penalty

The IRS has formally agreed that churches can discuss and endorse political candidates from the pulpit without risking their tax-exempt status, a significant reinterpretation of the Johnson Amendment first enacted in 1954. This shift comes after a lawsuit filed by religious organizations, including the National Religious Broadcasters, challenged the amendment on constitutional grounds, arguing it violated First and Fifth Amendment rights. The IRS clarified that communications by houses of worship to their congregations on political matters, when made in connection with religious services through customary channels, do not constitute participation or intervention in political campaigns. President Donald Trump, who had promised during his presidency to protect religious speech, signed an executive order directing leniency in enforcing the Johnson Amendment, and this court filing aligns with that policy. Critics warn that this change could open avenues for campaign finance exploitation by political operatives using churches, while supporters view it as a restoration of religious freedoms. Overall, the IRS's formal stance marks a new era in the intersection of religion and politics, giving churches greater freedom to engage politically without fear of losing tax benefits.