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07/11/2025

ASAE-led Coalitions Secure Important Victories for Associations in Congressional Tax Bill

The investment by its members and other nonprofit organizations was critical

ASAE-led coalitions successfully advocated for important policy advancements in the tax bill passed by Congress last week.

“The investment by our members and other nonprofit organizations in ASAE’s coalitions was critical for ensuring that the voices of the association community were heard in the 2025 tax reform debate,” said ASAE President and CEO Michelle Mason, FASAE, CAE. “We thank Congress for their engagement with association leaders in shaping this tax bill. Coalitions like these will continue to be essential in educating members of Congress about the important role associations play in our economy.”

The Community Impact Coalition, launched by ASAE in January, led advocacy to Congress on preserving the current tax treatment of nonprofit organizations. Among those who serve on the CIC is OSAP President & CEO Jarrod A. Clabaugh, CAE. Thanks to the coalition’s advocacy, sweeping tax increases on the nonprofit sector were never introduced in draft legislation, and two narrower tax provisions were removed during the legislative process:

Nonprofit organizations – including associations, professional societies and charities – operate in the private sector to deliver services that help people meet their basic needs and ensure they are well equipped to succeed in today’s economy. Preserving their current tax treatment allows nonprofit revenues to continue to be dedicated to that mission.

Additionally, this legislation provides Americans with new tools to access the skills and knowledge they need to be successful in today’s economy.

Thanks to advocacy from ASAE’s Tomorrow’s Workforce Coalition, the final bill includes the Freedom to Invest in Tomorrow’s Workforce Act. This bill expands the use of 529 plans to cover post-secondary training and credentialing, such as licenses and nongovernmental certifications. Furthermore, it transforms these college savings plans into career savings plans and creates more viable pathways to career success.

ASAE thanked its members for their ongoing support of its advocacy work, and it encourages others to join these coalitions to support future advocacy on public policy issues including tax, artificial intelligence and workforce development. t is essential that associations continue to educate lawmakers about the importance of nonprofit organizations, as reporting from Axios shows Congress is likely to consider additional reconciliation legislation later this year.

ASAE also applauds the approach of Congress in these two critical areas, and it encourages members of Congress to continue engagement with the association community as we all work together to strengthen our economy.

This article was provided to OSAP by ASAE's Power of Associations and Inroads.

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