Nonprofit For-Prophet Organizations
what powers in politics do nonprofit for-prophet organizations have?
Under federal tax law, 501(c)(3) organizations, which are classified as nonprofits, are prohibited from endorsing political candidates, making campaign contributions, or engaging in partisan political activities. However, these organizations can engage in nonpartisan activities, such as voter registration efforts, get-out-the-vote campaigns, and voter education, as long as they comply with IRS guidelines established in 2007. Nonprofits may also participate in discussions related to ballot measures and have the option to rent their facilities to political groups, provided they follow standard rental procedures.
Nonprofit Guidelines - Treading the line of legality
Importantly, while 501(c)(3) nonprofits cannot contribute to Political Action Committees (PACs), they can form affiliated 501(c)(4) organizations, which are permitted to engage in political activities. Nonprofit staff and board members are allowed to personally endorse political candidates, but they must take care to ensure that such endorsements are made in their individual capacity and do not suggest that the nonprofit organization itself is endorsing a candidate. These guidelines are crucial in maintaining the nonprofit's tax-exempt status and preventing any overlap between charitable missions and political influence, particularly in nonprofit for-prophet organizations.
Do donors to these foundations need to be public?
Many of these organizations have ties to wealthy billionaires or influential people in the conservative sphere. After the Supreme Court case Americans for Prosperity v. Bonta, a case taken by the Alliance Defending Freedom, the names of those who donate to nonprofit organizations do not need to be made public.
Citizens United - the supreme court case that broke american democracy
The Creation of Super PACs
The Citizens United v. FEC decision in 2010 had a significant and lasting impact on campaign finance in the United States. One of the most notable effects was the dramatic increase in political spending. By allowing corporations and unions to spend unlimited amounts on independent political advertising, the ruling led to a substantial rise in overall campaign expenditures, especially from super PACs, which are independent political action committees.
This decision also led to the rise of super PACs, which are now able to raise and spend unlimited funds for or against political candidates, as long as they do not coordinate directly with the candidates' campaigns. As a result, political spending became more centralized in these large, independent groups.
dark money in politics
Another important consequence was the emergence of "dark money" in politics. Due to the ruling, certain nonprofit organizations, such as 501(c)(4) groups, are not required to disclose their donors. This has created a lack of transparency, making it difficult for voters to know who is financing political ads and initiatives.
more money = more power
The decision also shifted the power dynamics in U.S. elections, allowing wealthy individuals and corporations to exert greater influence. With no limits on financial contributions, their spending could greatly impact political outcomes, raising concerns about the fairness and integrity of the democratic process.
corporations and political financing
Finally, Citizens United set a legal precedent that influenced subsequent rulings, further expanding the scope of political spending and loosening regulations meant to limit corporate influence in politics. These changes have shaped the current landscape of political financing, with lasting implications for both campaigns and public trust in the electoral system.
The Dark Money Loophole - 501(c)(4)
In the past decade, over $1 billion in "dark money" has flowed into U.S. politics, often funneled through 501(c)(4) nonprofits that can conceal donor identities. Critics argue this creates a shadowy influence on elections, enabled by loopholes in tax law allowing these organizations to engage in political activities without being primarily political. Despite thousands of complaints about potential abuses, the IRS has failed to revoke the tax-exempt status of any such organizations for spending violations since 2015. The IRS’s oversight has weakened due to budget cuts, staffing losses, and a complicated investigation process, which has left it unable to effectively enforce regulations. The agency's previous scandals, particularly accusations of partisan targeting, have also created a chilling effect among IRS staff. As dark money continues to proliferate, experts warn that new loopholes are emerging, further complicating the regulatory landscape.
some of the nonprofit for-prophet organizations that are associated with project 2025 or christian nationalism:
This is not an exhaustive list - groups are added as they come up in research.