KBLX Weekend Tip - Can Nonprofits 501C3s Lobby, Impact Legislation?
A small amount of Nonprofit Lobbying Activities are acceptable but Substantial Lobbying Activity is not
In general, no organization, including a church, may qualify for NONPROFIT 501(c)(3) status if a substantial part of its activities is attempting to influence legislation - which is commonly known as lobbying
501(c)(3)organizations may engage in some lobbying, but too much lobbying activity risks loss of tax-exempt status AND possible penalty PAYMENTs
Political Campaign Intervention (pages 5 - 9)Additional notes from the IRS.Gov websites:
For Churches and other religious organizations ( Pages 7-13)
"Measuring Lobbying ActivitySubstantial part test. Whether a church’s or religious organization’s attempts to influence legislation constitute a substantial part of its overall activities is determined on the basis of all the pertinent facts and circumstances in each case. The IRS considers a variety of factors,including the time devoted (by both compensated andvolunteer workers) and the expenditures devoted by theorganization to the activity, when determining whether the lobbying activity is substantial." according to the IRS.Gov publication p1828 http://www.irs.gov/pub/irs-pdf/p1828.pdf
"A church or religious organization that conducts excessive lobbying activity in any taxable year may lose its tax-exempt status,resulting in all of its income being subject to tax." according to the IRS.Gov publication p1828