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Article
It Down and Count the Cost:" A Framework for Constitutionally Enforcing the 501(c)(3) Campaign Intervention Ban
Virginia Tax Review (2009)
  • Benjamin Leff
Abstract
Section 501(c)(3) of the Internal Revenue Code (Code) prohibits charities from intervening in a political campaign for or against a candidate for public office. The Internal Revenue Service (Service) currently interprets the campaign-intervention ban to absolutely prevent charities from communicating their views on candidates, even if such communications are completely financed by non-501 (c) (3) affiliates. This article argues that the current Service enforcement paradigm is unconstitutional because it exceeds the government interest in preventing tax-deductible donations to be used for campaign- intervention. A constitutional interpretation exists under the current statutory framework, but it would require the Service to shift its focus exclusively to campaign-intervention-related expenditures. The Service could compel 501(c) (3) organizations to make all expenditures through a non-501(c)(3) affiliate using funds that were raised on a non- deductible basis, or receive reimbursement from a non-501 (c) (3) for all such expenditures.
Disciplines
Publication Date
2009
Citation Information
Benjamin Leff. "It Down and Count the Cost:" A Framework for Constitutionally Enforcing the 501(c)(3) Campaign Intervention Ban" Virginia Tax Review (2009) p. 673
Available at: http://works.bepress.com/benjamin_leff/11/