IRS announcements or official statements from affected organizations

House Passes HR 9495 to Revoke Tax-Exempt Status of Terrorist-Supporting Nonprofits, Provide Tax Relief

Nov 21, 2024, 04:30 PM

The U.S. House of Representatives has passed H.R. 9495, also known as the Stop Terror-Financing and Tax Penalties on American Hostages Act, on Thursday. The bill aims to revoke the tax-exempt status of U.S. nonprofits found to be materially supporting terrorist organizations. Additionally, it provides tax relief for Americans who have been held hostage or wrongfully detained abroad. The bill has sparked significant controversy, with supporters arguing it is a necessary measure to cut off funding to terrorist groups, while opponents claim it grants the executive branch excessive power to target nonprofits without due process. Notable organizations such as the Anti-Defamation League (ADL) and the American Israel Public Affairs Committee (AIPAC) support the bill, whereas the American Civil Liberties Union (ACLU) and several progressive Jewish groups oppose it. The bill passed with the support of 15 Democrats and all present Republicans except one. Critics are particularly concerned about the potential for abuse by the incoming Trump administration.