Non-Profits Take Note: Johnson Amendment Repeal Included in House 2018 Tax Bill

By: June Swanson

Yesterday, the House Ways and Means Committee inserted language into the House 2018 tax bill – H.R. 1 “Tax Cuts and Jobs Act” – that would repeal the Johnson Amendment for all non-profits (see page 427 of the tax bill). The new language states that any 501(c)3 organization, not only houses of worship, would be allowed to engage in the partisan politics that are currently prohibited.  Right now Section 5201 will move to the full U.S. House of Representatives as part of the House tax bill, and then the Senate will release its own tax bill.  Stay tuned for more updates.

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