05/06/2025

Trump Officials Explore Ways of Challenging Tax-exempt Status of Nonprofits

Some IRS officials fear the deliberations depart from longstanding practice

Trump administration officials are exploring ways of challenging the tax-exempt status of nonprofits, according to people familiar with the matter, in a move that some Internal Revenue Service (IRS) staffers fear could damage the agency's apolitical approach.

In hourslong meetings that continued over a recent weekend, Internal Revenue Service lawyers explored whether they could alter the rules governing how nonprofit groups can be denied tax-exempt status, the people said.

The meetings started taking place shortly after the Trump administration appointed a new top interim lawyer at the agency, Andrew De Mello, whom Trump had nominated for a different post in his first term. De Mello privately discussed the nonprofit rules with agency officials, including those at the tax-exempt division, according to people familiar with the matter.

Please select this link to read the complete article from The Wall Street Journal.