Time - In the wake of Charlie Kirk’s assassination earlier this month, President Donald Trump and members of his administration have openly discussed punishing left-leaning organizations they believe fuel political violence. Experts say one tactic that’s been mentioned could be especially harmful to some of the targeted groups: going after their tax-exempt status.
The charge was made most explicitly last Monday, when Vice President J.D. Vance singled out the Ford Foundation and the George Soros-funded Open Society Foundations while hosting Charlie Kirk’s podcast. “We are going to go after the NGO network that foments and facilities and engages in violence,” Vance said, referring to non-governmental organizations.
Asked about the Administration’s plans, a White House official told TIME in a statement: “The White House is exploring a wide variety of options to put pen to paper to address left-wing political violence and the network of organizations that fuel and fund it. Specifics on what that looks like continue to be discussed.”
Legal experts say the loss of tax-exempt status would amount to an existential threat to most organizations. But the White House’s ability to revoke any group’s tax-exempt status would be difficult, and could lead to protracted court battles.
For many charities, losing their tax-exempt status would be “the end of the road,” says Ofer Lion, a lawyer based in Los Angeles who is expert on non-profit tax law. It is that categorization that allows donors to deduct donations from their own taxes. The loss of their tax-exempt status would immediately hobble a group’s fundraising, as well as potentially force the organization to have to pay taxes on funds it holds in an endowment.
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