David L. Thompson, Acting CEO and Vice President of Public Policy for the National Council of Nonprofits, issued the following statement in response to new lawsuit filed in a Texas federal district court that challenges the 70-year-old provision in federal tax law requiring 501(c)(3) organizations, in exchange for being exempt from taxation and receiving donations that are tax deductible for donors, must refrain from endorsing or opposing candidates for public office:
“On behalf of charitable nonprofits everywhere, we are deeply troubled that some would attack the bedrock principle that charitable organizations must remain nonpartisan in law, fact, and purpose in order to serve their missions and communities. This law is clear, well understood, and easily followed. In addition to basic factual and legal errors, the new litigation is misguided because it contributes to the further politicization of the charitable sector and society. It will be opposed vigorously by the National Council of Nonprofits and all who are committed to serving communities rather than ideologues, self-serving politicians, and their political operatives.”