House passes bill that would allow Treasury to target nonprofits it deems to support terrorism

WASHINGTON — The U.S. House passed legislation Thursday that would give the Treasury Department unilateral authority to strip the tax-exempt status of nonprofits it claims support terrorism, alarming civil liberties groups about how a second Trump presidency could invoke it to punish political opponents. Critics The bill would create a new category of “terrorist supporting organizations,” according to an analysis by the Congressional Research Service of a previous version of the legislation. The bill text outlines how the Treasury must send “a description of such material support or resources to the extent consistent with national security and law enforcement interests.” In a joint statement with the Independent Sector, National Council of Nonprofits, and United Philanthropy Forum, the Council on Foundations also said the bill would shift the burden of proof to the nonprofit, and even if an organization was eventually cleared, the nonprofit would “risk irreparable damage to their operations and reputation.” If it were to become law, the bill could apply to a range of nonprofits, including membership organizations, unions and private foundations. “This is a dangerous and unconstitutional bill that would allow unchecked power to target nonprofit organizations as political enemies and shut them down without due process.” ___ Thalia Beaty reported from New York.