07/10/2025

IRS Moves to Allow Churches to Engage in Political Speech

Many nonprofit leaders oppose repealing or weakening the Johnson Amendment

As previously reported by OSAP, earlier this week, the Internal Revenue Service (IRS) announced that religious leaders may endorse political candidates during worship services without jeopardizing their church’s tax-exempt status.

The move challenges the longstanding Johnson Amendment, a 1954 provision in the U.S. tax code that prohibits 501(c)(3) nonprofit organizations — including churches — from directly or indirectly participating in political campaigns. The new IRS position was disclosed in a proposed consent judgment filed in response to an ongoing legal battle with the National Religious Broadcasters Association and two Texas churches, who sued the agency in August 2024, claiming the Johnson Amendment violates their First Amendment rights to free speech and religious expression.

According to the filing, the IRS and the plaintiffs agree that political speech “between the house of worship and its congregation, in connection with religious services,” should not be interpreted as prohibited political activity under the Johnson Amendment. If approved by the court, this agreement would effectively create a narrow exemption allowing churches to engage in political endorsements during religious services — a move that blurs the lines between religious practice and electoral politics.

Although the Johnson Amendment has been law for more than 60 years — introduced by then-Senate Majority Leader Lyndon B. Johnson to limit political activity by tax-exempt entities — enforcement has historically been inconsistent, with few publicized cases of penalties.

While the proposed carve-out would expand political speech within religious settings, it does not authorize broader political activities such as campaign donations, public advertising or voter mobilization efforts by religious organizations. Many nonprofit leaders oppose repealing or weakening the Johnson Amendment as such a move could undermine public trust in charities and other nonprofit institutions.

“Charitable nonprofits are among the few remaining trusted spaces where people come together across differences to solve community problems; undermining the law that protects their nonpartisanship could severely damage the integrity and effectiveness of the entire sector,” said Diane Yentel, president and CEO of the National Council of Nonprofits.

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