Democrats Flip to Protect Radical Non-Profits

 On November 21, 2024, a heated debate occurred in the House of Representatives regarding HR 9495, titled the “Stop Terror-Financing and Tax Penalties on American Hostages Act. ” While some claimed the bill would give unchecked powers to President-elect Trump to label political adversaries as terrorists, it had bipartisan support when initially passed in April 2024. Critics, particularly from the Democratic Party, later framed it as a threat to civil society. This change in perception followed Trump's election, with only 15 Democrats voting for it in the latest round.

The bill aims to ensure that non-profits aiding foreign terrorist organizations lose their tax-exempt status, a measure that was initially uncontroversial. Democratic Representative Pramila Jayapal, who had previously supported the bill, now argued that it could harm various groups without due process. However, the legislation contains provisions allowing accused non-profits 90 days to respond and includes an independent appeals process.

Opposition from the non-profit sector, particularly from organizations linked to extremist ideologies, intensified as these groups lobbied against the bill, suggesting it was an attack on free speech. Critics highlighted concerns about due process while ignoring the fact that the bill specifically targets those affiliated with designated foreign terrorist organizations under U. S. law.

Despite claims that the bill could endanger many civil organizations, HR 9495 is focused on non-profits directly supporting terrorism. Current laws already allow the IRS to revoke tax benefits for such organizations, and HR 9495 only enhances due process rights for those accused.

The political shift in support for HR 9495 is attributed to the lobbying efforts of non-profits with ties to extremist ideologies, which fear being scrutinized. This situation raises concerns about the influence of these organizations on the Democratic Party and broader advocacy groups. The author, Julie Marzouk, argues that investigating non-profits linked to terrorism should be a bipartisan priority and emphasizes that HR 9495 is not an authoritarian measure but a necessary step to combat the infiltration of extremist organizations into American society. 

https://spectator.org/democrats-flip-to-protect-radical-non-profits/