Between the proposed consent decree in the National Religious Broadcasters case, expected guidance from the Treasury Department, and the pending elections, the Internal Revenue Code Section 501(c)(3) prohibition on political campaign intervention, often referred to as the Johnson Amendment, has been much in the news. A recent Congressional Research Service Legal Sidebar and an upcoming ABA Webinar highlight the issues these developments raise.
Here is the introduction to the CRS publication, titled Recent Litigation Highlights Debate About IRS Enforcement of Prohibition on Political Campaign Activity Against Churches:
Congress has granted federal income-tax exemptions to groups defined as religious, educational, or public-interest organizations under Section 501(c)(3) of the Internal Revenue Code, but restricts those groups (known as “Section 501(c)(3) organizations”) from participating in political campaign activity as a condition to receiving an exemption. On March 31, 2026, the U.S. District Court for the Eastern District of Texas dismissed a case (National Religious Broadcasters v. Bessent) in which the government and plaintiffs (two churches and two religious nonprofits) sought a consent decree barring the Internal Revenue Service (IRS) from enforcing Section 501(c) in a way that would prohibit the two plaintiff churches from engaging in political campaign activity. The court dismissed the case for lack of jurisdiction under the Tax Anti-Injunction Act and the Declaratory Judgment Act. The case generated debate on the enforcement of the prohibition on political campaign activity (sometimes called the “Johnson Amendment”) against churches and the appropriateness of consent decrees in litigation as a means for policy making.
This Legal Sidebar discusses the legal background on the Johnson Amendment; details the procedural history of National Religious Broadcasters v. Bessent, including arguments made by the parties, amici, and outside commenters; and describes how the government has responded to the court’s decision. Finally, it discusses congressional responses and provides considerations for Congress.
And here is the description of the Webinar, titled The Bully Pulpit: The Changing Johnson Amendment and Practical Guidance for Religious Tax-Exempt Organizations:
ABA Rule of Law in America Series – This panel will discuss changes the Trump administration has made in the interpretation and enforcement of the Johnson Amendment, which has prohibited 501(c) non-profit organizations from endorsing or opposing political candidates. The panel will also provide practical guidance on compliance in the changing landscape for tax-exempt religious organizations.