Republicans Slip Nonprofit Killer Bill Into Budget Plan
The “nonprofit killer bill” is hidden at the very end of Republicans’ massive 389-page budget package.

House Republicans’ draft budget bill includes a clause to give Donald Trump the ability to revoke the tax-exempt status of any group the Treasury Department says is a supporter of terrorism.
The move appears to be a revival of the Stop Terror-Financing and Tax Penalties on American Hostages Act, which the House passed in November under President Biden. The Senate had not taken up the measure, which drew criticism for granting dangerous powers to the president. Now those powers have resurfaced deep within the GOP’s “big beautiful bill”: on page 380, to be exact.
Last year, 15 Democrats joined Republicans in the House to pass the anti–free speech bill, which was originally intended to help clamp down on pro-Palestinian protesters, particularly those on college campuses. Even though the bill has languished since then, Trump has still attempted to target nonprofit institutions that refuse to kowtow to him, including institutions such as Harvard University.
If the clause isn’t excised from the final bill and passes, Trump can target any nonprofit that he and the Republicans don’t like, whether they are focused on reproductive rights, climate change, refugee support, or anything else. The budget bill is going through the reconciliation process, meaning that it only requires a simple majority in the House and Senate to be passed.
If party lines hold on this bill, the nonprofit clause can pass without a single Democratic vote. Will Democrats hold the line and try to mobilize to remove the anti-nonprofit clause? Or will the caucus once again be divided, with some Democrats supporting the measure?