1. United States
2. Iowa
3. Letter

The proposed legislation poses a severe threat to legitimate nonprofit organizations by allowing the government to unilaterally revoke their tax-exempt status based solely on accusations of providing "material support" to alleged terrorist groups, without due process or judicial oversight. This provision undermines fundamental constitutional protections and could enable the targeting of disfavored charities or civil society groups for politically motivated reasons. Many nonprofits operate in conflict zones to provide vital humanitarian aid and advocacy; they could be caught in the crosshairs despite operating in good faith. Revoking tax-exempt status can be financially devastating, hampering an organization's ability to pursue its charitable mission. The bill lacks sufficient safeguards against abuse of this broad discretionary power. Protecting national security is crucial, but not at the expense of dismantling hallmarks of democracy like freedom of association. This overreach jeopardizes the crucial work of the nonprofit sector and should be reconsidered to balance all interests fairly.