Within the top of an election season, charity leaders typically really feel sidelined by the tax code, believing that talking out when elections are looming is simply too dangerous.
Actually, the principles governing charities depart plenty of room for charities not solely to advocate vigorously in service of their communities, even in an election 12 months, but in addition to take part within the election itself.
By “charities,” we imply nonprofit organizations exempt underneath Part 501(c)(3) of the Inner Income Code. As a basic rule, nonprofit organizations, together with these exempt underneath different sections, like social welfare organizations [501(c)(4)], labor unions [501(c)(5)], and commerce associations [501(c)(6)], are permitted to affect elections extra immediately than charities. The topic of this text, nevertheless, is proscribed to charities.
And whereas charities can’t take sides in candidate elections, there’s a lot they’ll do to advertise problems with curiosity, educate candidates about these points, inform the general public about candidate views, and each encourage and allow voter participation within the election.
Armed with a greater understanding of the principles, and methods to implement them, charities can preserve making noise and fascinating their constituencies earlier than, throughout, and after the election.
Situation Advocacy
The truth that an election is arising doesn’t imply that charities have to remain quiet concerning the points that matter to them, even when candidates are additionally speaking about these points. It does imply, nevertheless, that charities must be considerate about how they discuss these points.
The IRS makes use of a comparatively, however not fully, obscure “details and circumstances” take a look at to find out whether or not a given communication constitutes problem advocacy or candidate marketing campaign intervention. The previous is permissible for a charity; the latter is just not. The IRS seems at each the content material and the context of a charity’s communication and considers the presence or absence of quite a lot of elements to resolve whether or not the communication is suitable for a charity.
Though there is no such thing as a exhaustive checklist of things, the IRS has recognized in Income Ruling 2007-41 (PDF) the next elements as essential to its evaluation:
- Whether or not the communication identifies a number of candidates for public workplace (if sure, the danger goes up)
- Whether or not the communication expresses approval or disapproval for a number of candidates’ positions or actions (if sure, the danger goes up)
- Whether or not the communication is delivered shut in time to the election (if sure, the danger goes up)
- Whether or not the difficulty addressed within the communication has been raised as a difficulty distinguishing candidates for a given workplace (if sure, the danger goes up)
- Whether or not the communication targets voters in a selected election (if sure, the danger goes up)
- Whether or not the communication is a part of an ongoing sequence of communications by the group on the identical problem which are made impartial of the timing of any election (if sure, the danger goes down)
- Whether or not the timing of the communication and identification of the candidate are associated to a nonelectoral occasion akin to a scheduled vote on particular laws by an officeholder who additionally occurs to be a candidate for public workplace (if sure, the danger goes down).
The evaluation is not only a counting of things, although, they usually do not all have equal weight. A lot is dependent upon the substance, look, and method of distribution of the communication. A charity that is aware of the principles can design communications throughout election season particularly to make sure that it doesn’t break the principles.
Educating and Participating Candidates and Voters
Charities may also educate candidates and voters and promote voter participation within the election, as long as they conduct these actions in a approach that doesn’t mirror help for or opposition to any explicit candidate or social gathering for election. These “nonpartisan” actions, additionally defined extra absolutely in Rev. Rul. 2007-41 (see hyperlink above), can embody (amongst others) the next, if correctly designed and carried out:
- Voter guides and candidate questionnaires
- Candidate boards and debates
- Voter registration actions that don’t goal voters primarily based on voting preferences
(Warning: Non-public foundations typically can’t fund or conduct voter registration drives.) - Get-out-the-vote actions that don’t goal voters primarily based on voting preferences
- Sharing beforehand ready academic supplies with all candidates in a given race, however not producing new materials at a candidate’s request
A Few No-Nos
After all, some actions that charities sometimes contemplate are clearly not permissible. These embody (amongst others) the next:
- Asking candidates to pledge to help or oppose a selected place, if elected
- Endorsing any candidate or social gathering for election at any charity occasion or in any charity publication, publication, e-mail, or social media communication
- Making contributions to candidates or events
- Offering tailor-made info to candidates upon request
- Permitting a candidate or social gathering to make use of any charity assets for marketing campaign functions
Keep Concerned, however Handle Your Danger
The end result of elections is usually essential to a charity’s capacity to perform its mission and to the well-being of its constituents. Luckily, the onset of election season doesn’t forestall charities from loudly and vigorously pursuing their charitable functions. Whereas there are dangers to handle, charities that know the principles can keep actively concerned within the public dialogue, even throughout election season.
This text is for basic informational functions solely and doesn’t characterize authorized recommendation as to any explicit set of details. Please search authorized counsel as you deem vital.
Further Sources
From TechSoup
From Alliance for Justice
From the IRS
Initially printed September 9, 2020. Final up to date August 9, 2024 to incorporate further assets.
