Churches can speak about political campaigns and candidates to their congregations without losing their 501(c)(3) status, the IRS said as part of a settlement of a constitutional challenge to rules surrounding religious organizations’ political speech.
“When a house of worship in good faith speaks to its congregation, through its customary channels of communication on matters of faith in connection with religious services, concerning electoral politics viewed through the lens of religious faith, it neither ‘participate[s]’ nor ‘intervene[s]’ in a ‘political campaign,’ within the ordinary meaning of those words,” the agency and religious groups said Monday in a joint filing in the US District Court for the Eastern District of Texas.
The proposed consent decree says it reflects the IRS’s current interpretation of the Johnson Amendment, an Internal Revenue Code provision added in 1954 that prohibits churches and other nonprofits from endorsing or opposing political candidates or engaging in political activities if they want to maintain their tax-exempt status.
The IRS generally hasn’t enforced the provision against religious organizations that speak about politics in the context of worship services, the filing said. Doing so “would create serious tension” with the First Amendment, as it would treat organizations that don’t speak about politics to their congregations more favorably than those that do, the agency said.
If approved by Judge J. Campbell Barker, the proposed consent decree would settle a 2024 lawsuit by the National Religious Broadcasters and other religious organizations challenging the Johnson Amendment as a violation of their First Amendment rights.
The organizations argued they were unfairly hamstrung in their ability to speak about politics, whereas other nonprofits could freely endorse political candidates without losing their tax-exempt status. They also asserted that the IRS “operates in a manner that disfavors conservative organizations and conservative, religious organizations” when enforcing 501(c)(3).
Although the lawsuit sought to void the entirety of the Johnson Amendment as unconstitutional, the settlement stops short of that by interpreting it in a way that the parties agreed would be in accordance with the First and Fifth amendments.
“The doctrine of constitutional avoidance counsels in favor of interpreting the Johnson Amendment so that it does not reach communications from a house of worship to its congregation in connection with religious services through its usual channels of communication on matters of faith,” the proposed consent decree says.
Therefore, “the Johnson Amendment does not reach speech by a house of worship to its congregation, in connection with religious services through its customary channels of communication on matters of faith, concerning electoral politics viewed through the lens of religious faith,” it said.
National Religious Broadcasters, Kallman Legal Group PLLC, Citizens for Self-Governance, and Ramey & Flock PC represent the organizations. The Justice Department represents the IRS.
The case is Nat’l Religious Broadcasters v. Long, E.D. Tex., No. 6:24-cv-00311, joint motion for entry of consent judgment filed 7/7/25.