Washington, D.C. – U.S. Sen. Jeff Flake (R-AZ) and U.S. Sen. Pat Roberts (R-KS) today introduced S. 2011, the Stop Targeting of Political Beliefs by the IRS Act. The bill is cosponsored by 37 additional senators, including U.S. Sens. Mitch McConnell (R-KY), John Cornyn (R-TX), John Thune (R-SD) and Orrin Hatch (R-UT). Audio and video of Senator Roberts' remarks can be found here.

The bill would protect the free-speech rights of 501(c)(4) organizations by prohibiting for one year the finalization of a proposed Internal Revenue Service (IRS) regulation that would significantly limit the advocacy and educational activities of these groups. The bill would also prevent additional targeting of 501(c)(4) organizations by restoring the IRS 501(c)(4) standards and definitions that were in place before the start of the agency’s targeting of conservative groups in 2010.  

Background: On Nov. 29, 2013, the Department of Treasury published a proposed IRS rule that would broadly define 501(c)(4) political activity to include voter registration, voter education, communications that mention a candidate or party, grants to 527s, and events in which a candidate participates, among other activities. Even non-partisan activities would be limited. The regulations specifically single out 501(c)(4) organizations, and do not apply to other nonprofit organizations such as charities, labor unions or trade associations.

The administration has already faced harsh criticism for earlier attempts by the IRS to target these same organizations. On May 14, 2013, the Treasury’s inspector general for tax administration released a report finding that the IRS had inappropriately targeted and applied excessive scrutiny to the applications of conservative groups applying for 501(c)(4) tax-exempt status. Several IRS employees, including the acting commissioner, resigned as a result of the scandal. Investigations by the House of Representatives, the Senate and the Department of Justice are ongoing. For more on the bill go here.

“The proposed IRS rule is overly broad and would codify the IRS’ ability to attack certain groups, opening the door to further encroachment on Americans’ first amendment rights,” said Roberts. “It is clear the IRS has no capacity to regulate political activity without running roughshod over people’s fundamental constitutional rights. As a result, our legislation is very simple – we simply halt further action on the proposed regulations until the Justice Department and congressional investigations into the IRS actions are complete. We don’t need the IRS regulating constitutionally guaranteed free speech.”

“To keep the Obama administration from further targeting nonprofits – conservative or otherwise – Congress must act to ensure that the First Amendment rights of all groups are preserved,” said Flake.

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