• The IRS permits churches to endorse political candidates without losing tax-exempt status.
• This decision stems from a court filing concerning the Johnson Amendment.
• Religious organizations argue this change supports their First Amendment rights.

The IRS has announced that churches can now endorse political candidates without jeopardizing their tax-exempt status, representing a significant shift in policy. This decision emerged from a joint court filing intended to clarify the interpretation of the Johnson Amendment, a provision that has historically barred tax-exempt organizations from endorsing political candidates. According to the IRS and the National Religious Broadcasters Association, endorsing candidates is permissible as long as it occurs through traditional channels during worship services. This development challenges the longstanding enforcement of the Johnson Amendment, which has been a source of contention between religious groups and federal authorities, according to CBS News and Reuters.

The foundation for the IRS's new stance lies in a lawsuit initiated by several churches and the National Religious Broadcasters, arguing that the Johnson Amendment infringes on their First Amendment rights of free speech and free exercise of religion. The IRS's court filing details how traditional religious communications should be exempt from the prohibition imposed by the amendment, equating such endorsements to a "family discussion" rather than active campaigning. This interpretation has not only garnered support from the religious community but also raised alarms among proponents of the Johnson Amendment, who fear it may lead to an increase in political involvement by churches, according to NPR and Newsweek.

This change in policy follows a significant historical context, with former President Trump openly criticizing the Johnson Amendment and calling for its repeal during his administration. Trump's administration took steps to relax restrictions on political speech by churches, aligning with similar sentiments expressed by current Republican lawmakers who continue to promote the repeal of the amendment. The IRS’s recent filing reflects an ongoing ideological shift in the federal approach towards religious organizations and their political engagement, as delineated in the court documents and observed by analysts in the nonprofit sector, citing Reuters and CBS News.