### Controversial Bill on Nonprofit Tax Exemptions Heads to House Vote

The House is set to vote this week on a potentially divisive bill aimed at making it easier for the federal government to revoke the tax-exempt status of nonprofits accused of supporting terrorist organizations. The legislation, supported by the Anti-Defamation League (ADL) and the American Israel Public Affairs Committee (AIPAC), has faced substantial opposition from the American Civil Liberties Union (ACLU) and progressive Jewish groups.

The bill, originally sponsored by Representatives David Kustoff (R-TN) and Brad Schneider (D-IL), initially passed the House in April with strong support, achieving a vote of 382-11. However, it encountered obstacles and controversy over the past seven months, stalling in the Senate. Last week, a revised version of the bill fell short of the required two-thirds margin, with a 256-145 vote. It is now scheduled for another vote where only a simple majority is needed for it to pass.

Should the bill become law, it would allow the secretary of the Treasury to unilaterally revoke the tax-exempt status of charities accused of providing financial or material support to U.S.-designated terrorist groups. Current laws mandate a trial for such actions, which this legislation aims to circumvent. Critics argue that this change would grant excessive power to the Treasury Secretary, potentially without the necessary transparency as the underlying evidence might not be released publicly.

Schneider, emphasizing the importance of the bill, described it as a "commonsense" measure crucial for cutting off funding to terrorist organizations like Hamas and Hezbollah. He referenced the Holy Land Foundation, a shuttered nonprofit accused of funneling money to Hamas, as an example of the type of organization the legislation targets.

In contrast, the ACLU argues that the bill offers the incoming Trump administration a "dangerous new tool" that could be used to target political opponents and curtail free speech. Opponents also fear it could shut down tax-exempt groups, including news outlets and universities, based on unilateral accusations from the executive branch.

Fifty-two Democrats supported the bill alongside the ADL, AIPAC, and the Republican Jewish Coalition, emphasizing a bipartisan drive to curb nonprofit support for terrorism. An ADL spokesperson called for robust due process protections to be added to the legislation, stressing the importance of dismantling financial networks that support terrorism.

Marshall Wittmann, a spokesperson for AIPAC, accused opponents of misrepresenting the bill's intentions and articulated that it targets only those organizations supporting U.S.-designated foreign terrorist entities. Despite this, groups like Bend the Arc, the New Israel Fund, and the Religious Action Center of Reform Judaism remain firmly against the bill, highlighting concerns over constitutional rights and potential abuse of power.

Senator Chris Murphy (D-CT) has also voiced strong opposition, asserting that the bill could empower the government to label dissenting groups as terrorist organizations, a tactic often used by dictators to suppress political opposition.

The House will vote on this revised bill, combined with less contentious legislation offering tax relief for U.S. hostages held abroad, later this week. The outcome could significantly impact how the U.S. government handles nonprofits and their tax-exempt statuses moving forward.