H.R. 2265: No Foreign Election Interference Act
The proposed bill, known as the No Foreign Election Interference Act
, seeks to amend the Internal Revenue Code to impose penalties on certain tax-exempt organizations that receive contributions from foreign nationals and then make contributions to political committees.
Key Provisions of the Bill
1. Penalties for Disqualified Contributions
The bill introduces a new section (6720D) that states if a tax-exempt organization, described in section 501(c), makes what is termed a disqualified political committee contribution
, it will incur a penalty that is twice the amount of that contribution. A disqualified political committee contribution
is defined as any contribution made by such an organization to a political committee if the organization had previously received contributions or gifts from a foreign national during a specified testing period
.
2. Definition of Testing Period
The testing period
is defined as an 8-year period ending on the date of the contribution, excluding any time before the enactment of this bill.
3. Criteria for Specified Tax Exempt Organizations
Organizations that will be subject to these penalties are those that fit the definition of a specified tax exempt organization
. This includes those whose gross receipts are at least $200,000 or whose assets are at least $500,000 for the taxable year.
4. Revocation of Tax-Exempt Status
The bill also stipulates that if a specified organization makes more than two disqualified political committee contributions, it will lose its tax-exempt status starting from the year of the third contribution.
5. Effective Date
The changes proposed in this bill would be effective for contributions made on or after January 1, 2026.
Relevant Companies
None found
This is an AI-generated summary of the bill text. There may be mistakes.
Sponsors
1 sponsor
Actions
2 actions
Date | Action |
---|---|
Mar. 21, 2025 | Introduced in House |
Mar. 21, 2025 | Referred to the House Committee on Ways and Means. |
Corporate Lobbying
0 companies lobbying
None found.
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Potentially Relevant Congressional Stock Trades
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