LAW PROF WARNS OF IRS ACTION FOR CHURCH POLITICAL ACTIVITY

by   Charles Willis                                                                                                                                                                        Vol. IX, No. 3, March 1996

While churches and religious leaders have been involved in political issues for hundreds of years, such involvement in 1996 could jeopardize a church's tax-exempt status if U.S. Internal Revenue Service guidelines are ignored.

Bill Townsend, assistant dean at the Mississippi College School of Law in Jackson, acknowledged during a Jan. 29-31 legal issues seminar at the Baptist Sunday School Board that societal issues compel Christians to be involved in political processes. But, he told pastors and other church staff persons, to protect the church's federal tax-exempt status, "do not use tax-exempt funds to lobby or to conduct a political campaign."

Two prohibitions from IRS apply to church status, he continued: "Absolutely no involvement in political campaigns and no substantial involvement in legislative lobbying."

Southern Baptist polity plays a significant role in whether one speaks for a church or for them selves as a private citizen, he observed, in contrast to denominations with a hierarchy. Using church stationery to send a letter of political endorsement, for example, violates both denominational polity and IRS codes.

In general, lobbying includes any effort to influence legislation by attempting to affect the opinions of the general public or any segment of the public, or communications with members to directly encourage them to lobby or to encourage them to encourage others to lobby.

Flagrant violations are most likely to attract the unfavorable attention of the IRS, he said, in contrast to a church staff person who writes an occasional letter about a political issue.

In the matter of campaigning prohibitions, tax-exempt organizations have "an absolute bar" against their participation or intervention in a campaign for or against any candidate for any public office, Townsend said.

"You can do everything possible to divorce yourself from an organization in making a political statement, but everyone knows who you are and what you do," he said, and "sometimes issues are closely linked with candidates."

Voter report cards, sometimes distributed to church members, can be clearly designed to move persons toward a candidate or group of candidates. To avoid problems with such material, he suggested, list all the candidates, include a range of issues and evaluate whether the cards are directed toward the general public rather than only to church members.

Individuals, he said, are free to fully participate in campaigning and lobbying. Churches may encourage members to participate as citizens in the political and legislative process.

"The rules are in place and should be carefully considered before committing one's church to a path that could jeopardize its exemption," he concluded.

"Legal Issues and the Church" was sponsored by the Baptist Sunday School Board's pastor-staff leadership department. [BP]