The Internal Revenue Service has quietly made one of the most significant shifts in campaign finance in seventy years. By declining to revoke the nonprofit status of churches that endorsed candidates, the agency has effectively ended enforcement of the Johnson Amendment — a law that, since 1954, prohibited houses of worship and other nonprofits from directly backing political candidates.
For the first time in modern American history, churches can openly endorse candidates without risking their tax-exempt status. Supporters frame the development as a First Amendment victory, freeing religious leaders to exercise both free speech and free exercise of religion without fear of government reprisal.
In a recent filing, the IRS and plaintiffs agreed that the amendment should not apply to “communications from a house of worship to its congregation … through its usual channels of communication,” equating such speech to private family discussions rather than prohibited political activity.
The change carries sweeping consequences. Churches enjoy a privileged legal position: unlike most 501(c)(3) nonprofits, they are not required to file IRS Form 990s that disclose their finances, donors, or leadership. That lack of transparency has watchdogs warning that houses of worship could become vehicles for hidden campaign contributions, functioning as a new “dark money” channel.
Tax law scholar Ellen Aprill cautioned the move could spark the creation of “fraudulent churches” designed primarily to funnel money into politics with no oversight. (RELATED: Tragedy At Michigan Church Latest in Violence Against Christians)
Politically, the effects will not be uniform. Independent and evangelical churches are expected to take advantage of the new freedom most quickly, particularly large megachurches with strong ties to conservative networks. Leaders such as Dallas pastor Robert Jeffress have long argued that “government has no business regulating what is said in pulpits,” and endorsements from such figures may soon appear in campaign advertising, fundraising drives, and get-out-the-vote efforts.
Democrats face a more complicated picture. Black churches have historically played an important role in mobilizing Democratic voters, but many pastors remain wary of politicizing sacred spaces. Some leaders, like Pastor Jamal Bryant in Georgia, say they will embrace endorsements as a mobilization tool. Others, such as Rev. Thomas Bowen, a former Biden faith adviser, caution that “moral authority is sacred and it must never be sold for access.”
Meanwhile, mainline denominations such as Catholic and Lutheran congregations are unlikely to engage in direct candidate endorsements. Institutional traditions, internal rules, and cultural hesitancy will likely keep their pulpits politically neutral, leaving the boldest steps to less hierarchical and more independent congregations.
As the 2026 midterms approach, the nation is entering uncharted territory. Sermons could double as campaign rallies, Sunday offerings could help bankroll candidates, and religious institutions could become one of the least transparent forces in American politics. (RELATED: Wisconsin Rep. Tom Tiffany Launches Campaign for Governor)