Jack Murphy – Associate Director of Government Affairs, Colorado Nonprofit Association
The federal government is considering a change that would erode public trust in the charitable nonprofit sector and send shockwaves through campaign politics: repealing the Johnson Amendment.
You may not know it by name, but the Johnson Amendment has long shaped the nonprofit sector. Since the 1950’s, this provision of the US Tax Code, named after then-Senator Lyndon B. Johnson, prohibits 501(c)(3) nonprofits from endorsing or opposing political candidates and making campaign contributions.
Now the US Congress and federal courts are considering how to repeal or weaken it, framing the rule as a limit on free speech, a violation of constitutional rights, and even a misunderstanding of separation of church and state.
These are serious claims. Most Americans would strongly oppose anything that infringes on First Amendment rights and undermines the separation of church and state. But these buzzwords are meant to inflame, and they distract from what this debate is really about.
Here’s the reality: the Johnson Amendment places limits on political speech, but only for organizations that choose to accept the benefits associated with 501(c)(3) tax-exempt status. It’s not a blanket restriction; it’s a trade-off.
Let’s start with some context. Most people are familiar with the term “nonprofit”, but many don’t realize there are different categories of nonprofits. The best-known are 501(c)(3) charitable nonprofits – these are typically churches, food banks, museums, animal shelters, even the American Red Cross and Habitat for Humanity. This is the group my organization represents.
Compared to others, 501(c)(3)s are subject to the strictest rules but also enjoy the most generous benefits. They are exempt from federal income tax, and most importantly, donations to them are tax-deductible. That’s because these organizations serve broad public purposes—much like how tax dollars are meant to function.
This is why the Johnson Amendment is so critical: in exchange for that tax-advantaged status, 501(c)(3)s are barred from participating in partisan politics. They are completely prohibited from making campaign contributions, endorsing or opposing candidates, or taking sides in elections. This restriction isn’t about silencing speech; it’s about ensuring that donated dollars serve the public good.
Other nonprofit categories, like 501(c)(4)s, can legally participate in political activities. Organizations like the ACLU, the NRA, political action committees, and the Sierra Club fall into this category. However, donations to 501(c)(4)s are not tax-deductible—rightly so, since they can be used to advance specific political viewpoints, not broadly serving the public in the same way as charitable nonprofits.
If a nonprofit such as a church or a food bank wants to participate in partisan politics, they can. They simply need to register as a 501(c)(4) instead of a 501(c)(3). There is no legal barrier to doing so—just a choice, and with it, a change in how donations to them are treated under tax law.
Tax-deductible donations should feed families, shelter the vulnerable, and provide needed resources to our communities – not elect politicians. Let’s keep it that way.
Talk to your neighbors and family. Call your elected representatives. And tell them that you support the Johnson Amendment – because charitable donations should be spent on hope, not politics.