Could Nonprofits Face Trump’s Newest Threat?

Nonprofit organizations across the United States, particularly in New York, are bracing for a potential assault from the Trump administration that could significantly undermine their operations. With rumors swirling about the possibility of revoking tax-exempt statuses or subjecting these organizations to stringent investigations, nonprofit leaders are expressing deep concerns over the future of their missions and funding.

Michelle Jackson, executive director of the Human Services Council, articulated the anxiety shared among organizations, stating, "We’re all hearing about these executive orders that are supposed to come out but honestly have no idea about when and what they’ll target." This unpredictability creates a climate of fear as nonprofits serve vital roles in communities, especially those addressing climate and social justice issues.

The impending threat is particularly pronounced for environmental nonprofits. According to various reports, many anticipate that Earth Day could be marked by a controversial executive order exacerbating restrictions on their tax-exempt status. This speculation has pushed organizations into crisis mode, as they prepare to defend not just their funding but their very existence.

Former Washington Governor Jay Inslee spoke out against the anticipated actions, denouncing them as an illegal use of the IRS as a political tool. Activist Bill McKibben underscored the stakes, warning, "The crime is trying to stop the energy transition in the midst of the greatest environmental crisis that our species has ever faced." These remarks resonate deeply, as they reflect a growing sentiment that weakening nonprofits could silence voices advocating for critical environmental reforms.

Legal experts highlight that IRS guidelines are clear: no president has the authority to weaponize tax-exempt status against organizations for political reasons. Rep. Jamie Raskin, a prominent Democratic figure, reinforced this perspective, emphasizing that recent congressional attempts to label nonprofits as terrorist organizations have failed. Yet, he warned that the current administration might skip the legislative process altogether— targeting nonprofits without requiring any new laws.

The chilling effect on nonprofits is already palpable, as budgets are strained and critical services face the threat of dissolution. Megan Allen, CEO of the New York Council of Nonprofits, remarked, "We were already starting to see more nonprofits needing to dissolve." The overall landscape delineates a distressing picture as nonprofits grapple with dwindling funds while simultaneously addressing escalating community needs.

In light of all this, Attorney General Letitia James is stepping in, offering guidance to nonprofits navigating these tumultuous waters. Over 1,000 organizations are set to attend a webinar designed to equip them with necessary resources to combat potential federal threats. The solidarity among these groups is evident, as nearly 600 have signed onto a letter condemning the administration’s attempts to undermine nonprofit stability.

Finally, the question looms: Is this the beginning of a larger movement to dismantle nonprofits, particularly those that stand in opposition to the administration? As fears mount and preparations intensify, organizations and their supporters must remain vigilant. Are we witnessing an unprecedented attack on American civil society, or can the resilience of nonprofit advocacy prevail against such pressures? Let’s engage in this vital conversation. Share your thoughts in the comments below.

• environmental groups
• nonprofit organizations
• Trump Administration

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Why is Harvard tax exempt?

President and Fellows of Harvard College is exempt from federal income tax as an educational institution under Section 501(c)(3) of the Internal Revenue Code of 1986, as amended. As an educational institution, Harvard is also exempt from Massachusetts state income tax.

Is Harvard tax exempt?

Threatening Harvard's tax-exempt status is a step too far—one that carries major risks extending well beyond academia into the broader nonprofit sector.