WASHINGTON, DC – The U.S. House of Representatives recently passed H.R. 9495, a bill granting the Treasury Department the power to revoke tax exemptions for nonprofits under the guise of fighting terrorism, according to Fair and Just Prosecution.
FJP argues the legislation threatens “civil society, freedom of expression, and fundamental principles of justice and due process.”
According to a statement, opponents of the bill warn that it could enable the government to weaponize its authority against nonprofits engaged in social justice work, noting, “H.R. 9495 gives the Treasury Department unilateral authority to label nonprofits as ‘sponsors of terrorism’ without requiring evidence or providing an avenue for fair appeal.”
The statement added that such unchecked power poses a significant risk to democracy and civil liberties.
Historically, measures similar to H.R. 9495 have been used to suppress dissenting voices, FJP said, including movements advocating systemic change.
The organizations critical of government policies or aligned with marginalized communities may become targets, warned FJP, adding, “This bill allows the government to dissolve these institutions under the pretext of national security, silencing criticism and depriving communities of essential services.”
The lack of due process embedded in the bill is a primary concern, added FJP, stating the legislation allows the Treasury Department to act as “judge, jury, and executioner,” bypassing established legal protections for accused entities.
Fair and Just Prosecution maintains this provision flagrantly violates democratic principles and undermines the notion of fair governance.
“Due process is a cornerstone of democracy,” said FJP in a statement, adding, “This bill jeopardizes that principle, granting the Treasury unchecked power to penalize nonprofits without transparency or accountability.”
Beyond its immediate impacts, H.R. 9495 sets a troubling precedent for future administrations, Fair and Just Prosecution noted, listing concerns the bill could be exploited to stifle political opponents, restrict free speech, and erode trust in democratic institutions.
“This legislation not only threatens nonprofits but also chips away at the core values of governance: trust, accountability, and equity,” the FJP report stated.
The social and economic consequences of the bill are profound, particularly for marginalized communities that depend on nonprofit services and representation, FJP said, adding, “By disempowering these organizations, H.R. 9495 risks exacerbating inequality, further marginalizing vulnerable populations, and discouraging civic engagement.”
Critics argue H.R. 9495 is more than an administrative measure—it is an attack on democratic rights.
“Civil society thrives on the ability of individuals and groups to challenge injustice without fear of reprisal,” Fair and Just Prosecution emphasized, insisting passage of this bill undermines that freedom and threatens the foundation of a just and equitable society.
