On November 12, a bill that could have given the US government, in particular the presidency, sweeping powers to target pro-Palestine organizations failed to pass the US House of Representatives. Although 256 representatives voted in favor of the bill, and 145 opposed, H.R. 9495, titled the “Stop Terror-Financing and Tax Penalties on American Hostages Act” required two thirds of the House to pass, which it did not receive. The bill, which would have stripped the tax-exempt status from nonprofit organizations designated as “terrorist supporting organizations” and raised significant alarm within the Palestine solidarity movement, has been defeated for now. Notably, over 50 legislators from the Democratic Party voted in favor.
The bill would have given the Treasury secretary the ability to designate a group as a “terrorist supporting organization,” without requiring officials to explain the reasoning behind this designation or to provide evidence. The bill would have been enacted during Trump’s presidential term and under his cabinet. This in particular has caused alarm among progressives, as Trump has made promises to use his power to target whoever he deems to be his political enemies and could utilize his Treasury Secretary (undefined at the moment of publishing) to persecute organizations according to his whims. These political enemies include those who Trump vaguely deems as “radical left lunatics,”, he has also suggested using the military and the National Guard against the so-called “enemy from within.”
Over the past year, conservative officials have leveled accusations of supporting terrorism at several non-profit organizations who organize in solidarity with Palestine, threatening their tax-exempt status.
In September, Speaker of the House of Representatives Mike Johnson and other conservatives attacked several pro-Palestine organizations with accusations of supporting terrorist organizations overseas. These accusations were leveled at the Alliance for Global Justice, the Westchester Peace Action Committee Foundation, Jewish Voice for Peace, Islamic Relief USA, United Hands Relief, the Peoples Forum, Tides, and Americans for Justice in Palestine Educational Foundation.
The organization American Muslims for Palestine has been hounded for months with legal battles over accusations that the US-based group funneling funds to Hamas.
The Council on American-Islamic Relations (CAIR) celebrated the defeat of H.R. 9495, which they dubbed the “Nonprofit Killer Bill,” which they claim is “aimed at silencing Palestine Activism.”
“CAIR will remain vigilant, educating Congress on the dangers of giving the Treasury unchecked power to revoke nonprofit tax status without evidence or due process,” the organization stated.
Representative Jamaal Bowman, who was targeted in a racist AIPAC-funded campaign against his reelection for his support of Palestine, resulting in the loss of his congressional seat, came out against H.R. 9495. The bill would “sink us further into authoritarianism,” he argued, and would “give the government unlimited power to stop the work of humanitarian groups and target political enemies.”