According to the November 4th edition of the Wall-Street Journal on-line,

today is the day. All that’s left is the voting. Watched nearly as closely in many other countries as it is at home, the U.S. presidential race is being called America’s moment of truth as the Guardian puts it. Or to cite a question asked by Le Monde and echoed elsewhere around the world: Will America live its revolution on Nov. 4?

So what is in store for non-profits? The new tax law, and we believe there will be one, will effect business and private tax-payers and ultimately disposable income that is segregated for charitable giving. Charitable giving affects non-profits.

So ultimately, what’s left after the voting, will affect all of us.
So I encourage you, vote. It’s part of what defines our democracy.

During a church service, congregants are encouraged to pray for Presidential candidates, McCain/Palin. Was this prayer request considered political activity? The IRS might consider this request as a political endorsement of either the Republican or Democratic party.

501(c)(3) organizations may not intervene in political campaigns. How does an organization define “intervening”?

According to the IRS’ Glossary included in the 2008 Instructions for Form 990, political campaign activities are all activities that support or oppose candidates for elective federal, state or local public office. It does not matter whether the candidate is elected. A candidate is one who offers himself or is proposed by others for the public office. Political campaign activity does not include any activity to encourage participation in the electoral process, such as voter registration or voter education, provided that the activity does not directly or indirectly support or oppose any candidate.

If the congregants had been encouraged to pray for both the Republican and Democratic candidates, is that considered political activity?

Is the church “intervening”? You decide…

For more information, see Publication 1828, Tax Guide for Churches and Religious Organizations.