Putting Trust in Transparency Act · Introduced in House (2025-04-10)

119th CONGRESS 1st Session

To amend the Internal Revenue Code of 1986 to require the public disclosure of the names and partial addresses of contributors to 501(c) organizations that receive Federal funding.

IN THE HOUSE OF REPRESENTATIVES · April 10, 2025 · Sponsor: Mr. Gosar · Committee: Committee on Ways and Means

SEC. 2. Findings and Sense of Congress

(a) Findings

Congress finds the following:
- In the United States, nongovernmental organizations, or NGOs, often assist the Federal government with distribution of resources to the American People and abroad.
- The executive Memo entitled , published February 6, 2025, requires executive departments and agencies to review all Federal funding to nongovernmental organizations; however, this review does not apply to these organizations’ non-Federal sources of funding. Memorandum for the Heads of Executive Departments and Agencies
- The non-Federal sources of NGOs’ extravagant revenue are already reported to the Internal Revenue Service through the Form 990 Schedule B, but these Forms are not shared government wide.
- Article I, Section 8 of the U.S. Constitution empowers Congress to make rules for the government and regulate the use of taxpayer dollars.
- NGOs that operate independently of the Federal government and any Federal grants or contributions of any amount are not subject to rigorous Congressional oversight and face limited restrictions on expression and association.
- To empower lawmakers to make responsible decisions with Americans’ tax dollars and provide transparency to the American People, all Americans should have access to the megadonors of NGOs that leverage Federal dollars for their own agenda.

(b) Sense of Congress

It is the sense of Congress that any nongovernmental organization that receives Federal funding of any kind is acting on behalf of the United States government and subject to the same fiscal oversight requirements as executive agencies.

SEC. 3. Annual disclosure of contributors to exempt organizations

(a) Amendments to Internal Revenue Code of 1986

(1) Public disclosure of names and partial addresses of donors
- of the Internal Revenue Code of 1986 is amended— Section 6104
  - by inserting after each place it appears, and
    - (e) Public disclosure of Form 990
      - In the case of an organization described in subsection (c) of section 501 and exempt from taxation under section 501(a) which receives Federal funding during the taxable year, the Secretary shall make public any schedule B of Form 990 (or successor Form) filed by such organization—
        
        within 60 days of processing such Form, and
        
        with the name, zip code, and total contribution of any contributor unredacted.
  - by adding at the end the following new subsection:
(2) Loss of exempt status for failure to file schedule B of Form 990
- (4) Revocation of exempt status for failure to file schedule B of Form 990
  - (A) Notice
    - If an organization described in subsection (e) fails to file the Form required under such subsection by the due date for the return of tax for such organization for the taxable year, the Secretary shall notify the organization—
      - (i) that the Internal Revenue Service has no record of such a return or notice from such organization, and
      - (ii) about the revocation that will occur under subparagraph (B) if the organization fails to file such a return or notice within 60 days of such notification.
  - (B) Revocation
    - If an organization described in subsection (e) fails to file schedule B of Form 990 of the Internal Revenue Service (or any successor schedule or Form) with the return or notice of such organization for the taxable year, such organization's status as an organization exempt from tax under section 501(a) shall be considered revoked on and after the date set by the Secretary under subparagraph (A)(ii). The Secretary shall publish and maintain a list of any organization the status of which is so revoked.
- Section 6033(j) of such Code is amended by adding at the end the following new paragraph:

(b) Application necessary for reinstatement; Retroactive reinstatement allowed if cause shown

Section 6033(j) of such Code is amended by striking each place it appears and inserting paragraph (1) or (4).

The amendments made by this section shall apply to returns filed for taxable years beginning after the date of the enactment of this Act.

H.R. 2841

Table of contents

SEC. 1. Short title

SEC. 2. Findings and Sense of Congress

SEC. 3. Annual disclosure of contributors to exempt organizations