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Legislation to remove tax exemption for private charitable funding of election administration advances in House

Jul 14, 2023
U.S. Capitol (Wikimedia Commons)

Part of American Confidence in Elections Act.

The federal charitable tax exemption for private funding of election administration would be removed in legislation that advanced in the U.S. House of Representatives earlier this week. The American Confidence in Elections Act, which includes the relevant provision, was approved by the House’s Committee on Administration, 8-4.

Specifically, according to the ACE Act’s §131—the End Zuckerbucks Act, first proposed by Rep. Claudia Tenney (R-N.Y.)—no organization categorized as a charity under §501(c)(3) of the Internal Revenue Code could

provide direct funding to any State or unit of local government for the purpose of the administration of elections for public office or any funding to any State or unit of local government in a case in which it is reasonable to expect such funding will be used for the purpose of the administration of elections for public office ….

The proposed law is a reaction to recent funding provided by and activities of the (c)(3) Center for Tech and Civic Life, itself substantially supported by Mark Zuckerberg.

“As the founder and co-chair of the Election Integrity Caucus, I am fighting to stop partisan bureaucrats and big tech oligarchs from interfering in our election process,” Congresswoman Tenney said.

Earlier in the week, a letter signed by representatives of more than 70 conservative groups—including a number that support and defend what they would characterize as donor freedom—endorsed the ACE Act’s “free speech and privacy protections” elsewhere in the bill.