Amend the Internal Revenue Code of 1986 to terminate the tax-exempt status of terrorist supporting organizations.

Taxation

senate

house

president

Introduced on April 17, 2024 by John Cornyn

Legislation Details

Amends the Internal Revenue Code of 1986 to terminate the tax-exempt status of organizations supporting terrorism.
Defines “terrorist supporting organization” as any organization designated by the Secretary for providing material support or resources to a terrorist organization in excess of a de minimis amount within the last three years.
Outlines the designation procedure, including a notice requirement and an opportunity for the organization to demonstrate it did not provide support or to make efforts to have the support returned.
Allows for the rescission of a designation if it was erroneous, if the organization did not receive notice and meets certain requirements, or if the Secretary determines the periods of suspension for all supported organizations have ended.
Provides for administrative review by the Internal Revenue Service Independent Office of Appeals and exclusive jurisdiction of United States district courts to review final determinations.
Includes provisions for handling classified information during court reviews.
Specifies that the amendment applies to designations made after the enactment of the Act in taxable years ending after such date.

Last updated 10/10/2024