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HR 2896119th CongressIntroduced

Safeguarding Charity Act

Introduced: Oct 29, 2025
Civil Rights & JusticeEconomy & Taxes
Standard Summary
Comprehensive overview in 1-2 paragraphs

The Safeguarding Charity Act amends Title 1 of the U.S. Code to explicitly exclude tax exemptions for organizations under IRC sections 501(c), 501(d), and 401(a) from being classified as federal financial assistance, preventing these entities from being subject to regulatory conditions tied to federal funding.

Key Points

  • 1The legislation creates a statutory definition clarifying that tax-exempt status for charities, non-profits, and retirement plans does not constitute federal financial assistance under any federal law or regulation.
  • 2This change shields tax-exempt organizations from compliance requirements typically imposed on federal fund recipients, such as non-discrimination mandates under civil rights statutes.
  • 3A rule of construction explicitly states the amendment does not retroactively alter historical interpretations of tax exemptions as federal assistance prior to enactment.

Impact Areas

Non-profit organizations with IRS 501(c) or 501(d) tax-exempt statusEmployers and administrators of 401(a) retirement plansFederal civil rights enforcement mechanisms tied to funding conditions
Generated by ExpertLegislativeAnalyst/v2025 on Nov 1, 2025