In recent days, LeadingAge joined a hastily called meeting with hundreds of other nonprofits and associations concerned about reports that the White House is on the cusp of issuing one or more Executive Orders that could restrict or revoke nonprofit organizations’ tax-exempt status. Those rumors seem to have been put to rest, at least for the moment.
During the evening of April 22, Politico reported that, in response to a question on whether President Trump was considering any actions to target nonprofit organizations, the White House said, “No such orders are being drafted or considered at this time.”
LeadingAge will remain connected to nonprofit-supporting coalitions and vigilantly engage in any efforts to diminish the capacity of nonprofit organizations.
Already this year, nonprofits have seen their tax-exempt status threatened in other venues. For example, the leaked menu of possible budget reconciliation revenue-raisers from the House Budget Committee in January offers up eliminating hospitals’ nonprofit status to generate $260 billion in “savings” (additional revenue) over 10 years.
During LeadingAge’s April Lobby Day, we made sure to remind lawmakers they must protect the tax-exempt status of nonprofits, reiterating points expressed in previous advocacy letters regarding House and Senate committees facing decisions on how to fulfill their budget reconciliation instructions.
In 2024, during the previous session of Congress, House and Senate bills were introduced to revoke the tax-exempt status for any organizations that provide financial support or resources to designated terrorist groups. At least one such House bill passed the House with bipartisan support in November 2024.
Again, LeadingAge will continue to engage on these issues.