Bill > S1428

This bill clarifies that tax exemptions for certain nonprofit organizations should not be considered federal financial assistance. Specifically, the bill amends title 1 of the United States Code to state that for organizations described in sections 501(c) or (d) of the Internal Revenue Code (which typically include nonprofit charitable, educational, and religious organizations) or organizations described in section 401(a) (which usually refers to qualified employee retirement plans), any tax exemption should not be interpreted as federal financial assistance under federal laws, rules, or regulations, unless explicitly stated otherwise. The bill includes a rule of construction that this interpretation does not retroactively change how tax exemptions were understood before the bill's enactment. In essence, the legislation aims to prevent tax-exempt status from being treated as a form of direct government aid or support, which could potentially impact how these organizations are regulated or perceived.

Budget and Finance

https://www.congress.gov/bill/119th-congress/senate-bill/1428/all-info