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56-586: Newspapers Journals TV channels Websites Other Economics Gun rights Identity politics Nativist Religion Watchdog groups Youth/student groups Miscellaneous Other The 85 Fund , also known as the Honest Elections Project , and formerly known as the Judicial Education Project , is a 501(c)(3) organization based in Washington D.C. It is among
112-530: A safe harbor for the "substantial part" test, the United States Congress enacted §501(h), called the Conable election after its author, Representative Barber Conable . The section establishes limits based on operating budget that a charity can use to determine if it meets the substantial test. This changes the prohibition against direct intervention in partisan contests only for lobbying. The organization
168-509: A candidate in some manner, or (c) favor a candidate or group of candidates, constitute prohibited participation or intervention. Since section 501(c)(3)'s political-activity prohibition was enacted, "commentators and litigants have challenged the provision on numerous constitutional grounds", such as freedom of speech , vagueness , and equal protection and selective prosecution. Historically, Supreme Court decisions, such as Regan v. Taxation with Representation of Washington , suggested that
224-595: A choice between two sets of rules establishing an upper bound for their lobbying activities. Section 501(c)(3) organizations risk loss of their tax-exempt status if these rules are violated. An organization that loses its 501(c)(3) status due to being engaged in political activities cannot subsequently qualify for 501(c)(3) status. Churches must meet specific requirements to obtain and maintain tax-exempt status; these are outlined in "IRS Publication 1828: Tax Guide for Churches and Religious Organizations". This guide outlines activities allowed and not allowed by churches under
280-544: A church's principal means of accomplishing its religious purposes must be to assemble regularly a group of individuals related by common worship and faith." The United States Tax Court has stated that, while a church can certainly broadcast its religious services by radio, radio broadcasts themselves do not constitute a congregation unless there is a group of people physically attending those religious services. A church can conduct worship services in various specific locations rather than in one official location. A church may have
336-411: A foreign subsidiary to facilitate charitable work in a foreign country, then donors' contributions to the 501(c)(3) organization are tax-deductible even if intended to fund the foreign charitable activities. If a foreign organization sets up a 501(c)(3) organization for the sole purpose of raising funds for the foreign organization, and the 501(c)(3) organization sends substantially all contributions to
392-444: A limited amount of lobbying to influence legislation. Although the law states that "no substantial part" of a public charity's activities can go to lobbying, charities with large budgets may lawfully expend a million dollars (under the "expenditure" test) or more (under the "substantial part" test) per year on lobbying. The Internal Revenue Service has never defined the term "substantial part" with respect to lobbying. To establish
448-774: A manner consistent with a particular religion's religious beliefs does not qualify as a tax-exempt church. Organizations described in section 501(c)(3) are prohibited from conducting political campaign activities to intervene in elections to public office. The Internal Revenue Service website elaborates on this prohibition: Under the Internal Revenue Code, all section 501(c)(3) organizations are absolutely prohibited from directly or indirectly participating in, or intervening in, any political campaign on behalf of (or in opposition to) any candidate for elective public office. Contributions to political campaign funds or public statements of position (verbal or written) made on behalf of
504-719: A network of conservative organizations associated with Leonard Leo , a longtime prominent figure in the Federalist Society , that are funded mostly by anonymous donors . The 85 Fund had revenue of over $ 65 million in 2020 and, with the Concord Fund , acts as a funding hub for other organizations in the Leo network. As the Honest Elections Project, it participated in lawsuits during the 2020 United States presidential election and ran advertisements against mail-in voting . It
560-467: A non-partisan manner do not constitute prohibited political campaign activity. In addition, other activities intended to encourage people to participate in the electoral process, such as voter registration and get-out-the-vote drives, would not be prohibited political campaign activity if conducted in a non-partisan manner. On the other hand, voter education or registration activities with evidence of bias that (a) favor one candidate over another, (b) oppose
616-442: A significant number of people associate themselves with the church on a regular basis, even if the church does not have a traditional established list of individual members. In order to qualify as a tax-exempt church, church activities must be a significant part of the organization's operations. An organization whose operations include a substantial nonexempt commercial purposes, such as operating restaurants and grocery stores in
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#1732869511708672-423: A significant portion of a church school's curriculum is religious education. For a payment to be a tax-deductible charitable contribution, it must be a voluntary transfer of money or other property with no expectation of procuring financial benefit equal to the transfer amount. Before donating to a 501(c)(3) organization, a donor can consult the searchable online IRS list of charitable organizations to verify that
728-543: A single $ 7.8 million donation from Donors Trust , a donor-advised fund. In 2020, The 85 Fund received $ 20 million in donations from Donors Trust. Leo is a powerful figure in fund-raising and expertise for the American conservative movement. He has said that the 85 Fund was inspired by the fund-raising of Arabella Advisors , a liberal consulting firm that advises donors. Politico reported in August 2023 that Attorney General for
784-432: A tax deduction on a charitable gift to a 501(c)(3) organization that is organized and operated exclusively for religious, charitable, scientific, literary or educational purposes, or to foster national or international amateur sports competition (but only if no part of its activities involve the provision of athletic facilities or equipment), or for the prevention of cruelty to children or animals. An individual may not take
840-440: A tax deduction on gifts made to a 501(c)(3) organization that is organized and operated exclusively for the testing for public safety. In the case of tuition fees paid to a private 501(c)(3) school or a church school, the payments are not tax-deductible charitable contributions because they are payments for services rendered to the payee or the payee's children. The payments are not tax-deductible charitable contributions even if
896-522: A week. He simultaneously served as executive chairman for Breitbart News. GAI communications strategist Wynton Hall received $ 600,000 during the same time. Hall worked as a writer for Breitbart News and was promoted to managing editor in 2013. GAI president and treasurer Peter Schweizer, also an at-large editor and writer for Breitbart News, was paid $ 778,000 by the GAI from 2012 to 2015. The Post noted that GAI's political advocacy raises questions about whether
952-457: Is a conservative think tank located in Tallahassee, Florida . GAI was founded in 2012 by Peter Schweizer and Steve Bannon with funding from Robert Mercer and family . Schweizer serves as the group's president. The group's stated goal is to investigate and expose government corruption, misuse of taxpayer money, and crony capitalism . It is registered as a nonpartisan organization, but
1008-413: Is a proponent of the independent state legislature theory that posits state legislatures have sole authority to establish and enforce state election laws and rules. Leo has said that the fund-raising prowess of Arabella Advisors , a liberal consulting firm, was an inspiration for the 85 Fund to serve a similar function on the right. The secretary of The 85 Fund is Carrie Severino, who is the president of
1064-549: Is a searchable database of information about organizations over time. WikiCharities, is a nonprofit database of nonprofits and charities by name, location, and topic, that allows each organization to report its financials, leadership, contacts, and other activities. Section 501(c)(3) organizations are prohibited from supporting political candidates, as a result of the Johnson Amendment enacted in 1954. Section 501(c)(3) organizations are subject to limits on lobbying , having
1120-434: Is allowed to award grants to foreign charitable organizations if the grants are intended for charitable purposes and the grant funds are subject to the 501(c)(3) organization's control. Additional procedures are required of 501(c)(3) organizations that are private foundations . Donors' contributions to a 501(c)(3) organization are tax-deductible only if the contribution is for the use of the 501(c)(3) organization, and that
1176-754: Is an actual controversy regarding a determination or the Internal Revenue Service has failed to make a determination. In these cases, the United States Tax Court , the United States District Court for the District of Columbia , and the United States Court of Federal Claims have concurrent jurisdiction to issue a declaratory judgment of the organization's qualification if the organization has exhausted administrative remedies with
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#17328695117081232-633: Is illegal for non-U.S. citizens to contribute to U.S. campaigns). Multiple media sources had debunked the claim and found no supporting evidence. Another debunked book is Secret Empires: How the American Political Class Hides Corruption and Enriches Family and Friends , which was the first printed source about the false Biden–Ukraine conspiracy theory . Bush Bucks: How Public Service and Corporations Helped Make Jeb Rich, an e-book published in October 2015, raises questions about
1288-481: Is largely focused on investigations of allegations related to the Democratic Party . The Government Accountability Institute was set up by Steve Bannon as a tool for transmitting partisan dirt-digging and questionable opposition research to the mainstream media. "He realized that, though mainstream reporters were suspicious of partisan opinion, they were open to damning facts about public figures, regardless of
1344-478: Is not required to be made available to the public, unless the organization is an independent foundation. Churches are generally exempt from this reporting requirement. Every 501(c)(2) organization must make available for public inspection its application for tax-exemption, including its Form 1023 or Form 1023-EZ and any attachments, supporting documents, and follow-up correspondence with the Internal Revenue Service. The same public inspection requirement applies to
1400-545: Is now presumed in compliance with the substantiality test if they work within the limits. The Conable election requires a charity to file a declaration with the IRS and file a functional distribution of funds spreadsheet with their Form 990. IRS form 5768 is required to make the Conable election. A 501(c)(3) organization is allowed to conduct some or all of its charitable activities outside the United States. A 501(c)(3) organization
1456-406: Is reduced to $ 400. There are some classes of organizations that automatically are treated as tax exempt under 501(c)(3), without the need to file Form 1023: The IRS released a software tool called Cyber Assistant in 2013, which was succeeded by Form 1023-EZ in 2014. There is an alternative way for an organization to obtain status if an organization has applied for a determination and either there
1512-467: Is that the organization is specifically limited in powers to purposes that the IRS classifies as tax-exempt purposes. Unlike for-profit corporations that benefit from broad and general purposes, non-profit organizations need to be limited in powers to function with tax-exempt status, but a non-profit corporation is by default not limited in powers until it specifically limits itself in the articles of incorporation or nonprofit corporate bylaws. This limiting of
1568-741: The 2021 United States Capitol attack that occurred on January 6, saying: "The violent insurrection at the Capitol was a heinous attack against democracy, the rule of law, and the election system HEP was created to defend." In May 2021, HEP lobbied against H.R. 1, also known as the For the People Act . As of 2021, the executive director of HEP was Jason Snead. HEP is a proponent of the independent state legislature theory that posits state legislatures have sole authority to establish and enforce state election laws and rules, without judicial or executive review. It has argued
1624-470: The Concord Fund . Both funds are closely connected to Leonard Leo , the chairman of CRC Advisors and former vice president of the Federalist Society . The group's 2017 tax return listed a payment of $ 675,000 to the BH Group , an employer of Leo. Neil Corkery formerly served as president of the group. Between 2012 and 2017, the group raised $ 46 million. In 2018, more than 99% of the group's funding came from
1680-837: The Republican nominee win the 2024 presidential election . 501(c)(3) organization A 501(c)(3) organization is a United States corporation, trust , unincorporated association or other type of organization exempt from federal income tax under section 501(c)(3) of Title 26 of the United States Code . It is one of the 29 types of 501(c) nonprofit organizations in the US. 501(c)(3) tax-exemptions apply to entities that are organized and operated exclusively for religious , charitable , scientific , literary or educational purposes, for testing for public safety , to foster national or international amateur sports competition, or for
1736-434: The 14-point list is a guideline; it is not intended to be all-encompassing, and other facts and circumstances may be relevant factors. Although there is no definitive definition of a church for Internal Revenue Code purposes, in 1986 the United States Tax Court said that "A church is a coherent group of individuals and families that join together to accomplish the religious purposes of mutually held beliefs. In other words,
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1792-490: The 501(c)(3) designation. In 1980, the United States District Court for the District of Columbia recognized a 14-part test in determining whether a religious organization is considered a church for the purposes of the Internal Revenue Code: Having an established congregation served by an organized ministry is of central importance. Points 4, 6, 8, 11, 12, and 13 are also especially important. Nevertheless,
1848-405: The 501(c)(3) organization is not merely serving as an agent or conduit of a foreign charitable organization. The 501(c)(3) organization's management should review the grant application from the foreign organization, decide whether to award the grant based on the intended use of the funds, and require continuous oversight based on the use of funds. If the donor imposes a restriction or earmark that
1904-609: The Clintons' personal enrichment since leaving the White House in 2001. In October 2012, GAI released a report insinuating that the Obama campaign had received unlawful contributions. Citing no evidence, it claimed that "campaigns that aggressively raise money online are soliciting donations from people around the world-whether they intend to or not," and asserted that the Obama campaign had lacked "rigorous screening for donors' citizenship" (it
1960-544: The Court, if it were to squarely examine the political-activity prohibition of § 501(c)(3), would uphold it against a constitutional challenge. However, some have suggested that a successful challenge to the political activities prohibition of Section 501(c)(3) might be more plausible in light of Citizens United v. FEC . In contrast to the prohibition on political campaign interventions by all section 501(c)(3) organizations, public charities (but not private foundations) may conduct
2016-561: The District of Columbia Brian Schwalb was investigating Leo and his network of nonprofit groups. Schwalb's office did not confirm or deny the existence of a probe. The group donated $ 300,000 to the Independent Women's Forum , a conservative nonprofit organization. In 2011 and 2012, Leonard Leo arranged for Liberty Consulting, a firm owned by Ginni Thomas , wife of Supreme Court justice Clarence Thomas , to be paid $ 80,000 by Kellyanne Conway and her firm The Polling Company, billed to
2072-605: The GAI as a distinguished fellow in 2021. Between 2012 and 2014, GAI received donations of almost $ 4 million from the Mercer Family Foundation and the Koch brothers -affiliated Donors Trust . In 2019, the New Yorker reported that most of the GAI's funding came from tax-exempt donations from the family foundation of Robert Mercer , and that in the organization's 2017 tax filings listed his daughter Rebekah as chairman of
2128-503: The GAI board. The organization published several reports and books with premises and claims that were debunked after—or even before—publication. One is Clinton Cash: The Untold Story of How and Why Foreign Governments and Businesses Helped Make Bill and Hillary Rich , a 2015 book that makes false claims about donations made to the Clinton Foundation by foreign entities, paid speeches made by Bill and Hillary Clinton , and
2184-432: The Internal Revenue Service. Prior to October 9, 1969, nonprofit organizations could declare themselves to be tax-exempt under Section 501(c)(3) without first obtaining Internal Revenue Service recognition by filing Form 1023 and receiving a determination letter. A nonprofit organization that did so prior to that date could still be subject to challenge of its status by the Internal Revenue Service. Individuals may take
2240-533: The Judicial Education Project. Leo directed Conway not to mention Ginni Thomas in the paperwork. Leo told The Washington Post , "As an advisor to JEP I have long been supportive of its opinion research relating to limited government, and The Polling Company, along with Ginni Thomas's help, has been an invaluable resource for gauging public attitudes." He also said "Knowing how disrespectful, malicious and gossipy people can be, I have always tried to protect
2296-902: The conservative vision" to "crush liberal dominance at the choke points of influence and power in our society." In April 2020, the Honest Elections Project (HEP) announced it was launching a week-long $ 250,000 digital and television ad campaign on Fox News, MSNBC, and CNN against mail-in voting . Lawyers contracted by HEP sent letters to the secretaries of state in Colorado , Florida , and Michigan to lobby for purges of voter rolls in these states. The Guardian reported that these letters used "misleading data to accuse jurisdictions of having bloated voter rolls" and threatened legal action. HEP filed legal briefs in favor of voting restrictions in Nevada , Virginia , Texas , and Minnesota . In 2020, The 85 Fund provided $ 70,000 in funding to HEP. In September 2020, HEP
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2352-405: The contribution must be used for foreign activities, then the contribution is deemed to be for the foreign organization rather than the 501(c)(3) organization, and the contribution is not tax-deductible. The purpose of the grant to the foreign organization cannot include endorsing or opposing political candidates for elected office in any country. If a 501(c)(3) organization sets up and controls
2408-554: The current United States Secretary of Energy . In 2020, The 85 Fund donated $ 2 million to the Government Accountability Institute , a group founded by former White House strategist Steve Bannon and investigator Peter Schweizer and chaired by Rebekah Mercer . In September 2024, Leo wrote to recipients of 85 Fund grants to say that he was conducting a "comprehensive review" to determine whether recipients are being assertive enough to "operationalize or weaponize
2464-516: The doctrine in amicus briefs to the United States Supreme Court , which in June 2022 decided to hear a case brought by North Carolina Republicans during its next session beginning in October 2022. Critics of the doctrine said it might allow state legislatures controlled by one party, commonly made possible through gerrymandering , to decide the outcome of federal elections against the will of
2520-402: The foreign organization, then donors' contributions to the 501(c)(3) organization are not tax-deductible to the donors. The main differences between 501(c)(3) and 501(c)(4) organizations lie in their purposes and the tax-exempt benefits they receive. Here is a brief explanation of the differences: Government Accountability Institute The Government Accountability Institute ( GAI )
2576-538: The majority of voters. HEP has been described as an alias of the Judicial Education Project and the 85 Fund. HEP has led advocacy efforts against ranked choice voting . HEP is a member of the advisory board of Project 2025 , a collection of conservative and right-wing policy proposals from the Heritage Foundation to reshape the United States federal government and consolidate executive power should
2632-633: The millions of dollars former Florida Governor Jeb Bush earned after leaving office from companies that benefited from Bush's policy while he was serving as Florida's governor. A November 2016 investigation by The Washington Post detailed ties between the Government Accountability Institute and the conservative website Breitbart News . Three GAI employees received full-time compensation while simultaneously being employed elsewhere. From 2012 to 2015, GAI co-founder and executive chair Steve Bannon received $ 376,000 for working 30 hours
2688-515: The organization in favor of or in opposition to any candidate for public office clearly violate the prohibition against political campaign activity. Violating this prohibition may result in denial or revocation of tax-exempt status and the imposition of certain excise taxes. Certain activities or expenditures may not be prohibited depending on the facts and circumstances. For example, certain voter education activities (including presenting public forums and publishing voter education guides) conducted in
2744-435: The organization qualifies to receive tax-deductible charitable contributions. Consumers may file IRS Form 13909, with documentation, to complain about inappropriate or fraudulent (i.e., fundraising, political campaigning, lobbying) activities by any 501(c)(3) organization. Most 501(c)(3) must disclose the names and addresses of certain large donors to the Internal Revenue Service on their annual returns, but this information
2800-840: The organization's annual return, namely its Form 990 , Form 990-EZ, Form 990-PF, Form 990-T, and Form 1065, including any attachments, supporting documents, and follow-up correspondence with the Internal Revenue Service, with the exception of the names and addresses of donors on Schedule B. Annual returns must be publicly available for a three-year period beginning with the due date of the return, including any extension of time for filing. The Internal Revenue Service provides information about specific 501(c)(3) organizations through its Tax Exempt Organization Search online. A private nonprofit organization, GuideStar , provides information on 501(c)(3) organizations. ProPublica's Nonprofit Explorer provides copies of each organization's Form 990 and, for some organizations, audited financial statements. Open990
2856-409: The powers is crucial to obtaining tax exempt status with the IRS and then on the state level. Organizations acquire 501(c)(3) tax exemption by filing IRS Form 1023 . As of 2006 , the form must be accompanied by an $ 850 filing fee if the yearly gross receipts for the organization are expected to average $ 10,000 or more. If yearly gross receipts are expected to average less than $ 10,000, the filing fee
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#17328695117082912-676: The prevention of cruelty to children or animals . 501(c)(3) exemption applies also for any non-incorporated community chest , fund, cooperating association or foundation organized and operated exclusively for those purposes. There are also supporting organizations—often referred to in shorthand form as "Friends of" organizations. 26 U.S.C. § 170 provides a deduction for federal income tax purposes, for some donors who make charitable contributions to most types of 501(c)(3) organizations, among others. Regulations specify which such deductions must be verifiable to be allowed (e.g., receipts for donations of $ 250 or more). Due to
2968-595: The privacy of Justice Thomas and Ginni." In 2020, The 85 Fund provided $ 750,000 in funding to the Mercatus Center , a think tank affiliated with George Mason University . In 2020, The 85 Fund donated $ 1 million to the Accountability and Civics Trust Project, formerly run by Matthew Whitaker . The Accountability and Civics Trust Project filed a complaint to the Office of Special Council to investigate Jennifer Granholm ,
3024-578: The sourcing. He set out, with Schweizer, to produce material that would generate mainstream coverage, and right-wing outrage", wrote The New Yorker's Jane Mayer . While GAI claims to be "a self-styled corruption watchdog group chaired and funded by conservative mega-donor Rebekah Mercer .", the group became a mainstay of Alt-right media. Members of GAI's board of directors include Steve Bannon , Peter Schweizer , Hunter Lewis , Ron Robinson (president of Young America's Foundation ), and Wynton Hall . Former U.S. representative Jason Chaffetz joined
3080-503: The tax deductions associated with donations, loss of 501(c)(3) status can be highly challenging if not fatal to a charity's continued operation, as many foundations and corporate matching funds do not grant funds to a charity without such status, and individual donors often do not donate to such a charity due to the unavailability of tax deduction for contributions. The two exempt classifications of 501(c)(3) organizations are as follows: The basic requirement of obtaining tax-exempt status
3136-415: Was involved in legal action concerning whether mail-in ballots that were postmarked before the election but arrived up to 14 days after it should be counted; the suit was successful. HEP concluded that there was no widespread fraud in the 2020 United States presidential election and did not participate in any litigation to try to challenge or overturn the election results. HEP issued a statement criticizing
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