BGOV Bill Summary: H.R. 6408, Terrorist-Supporting Groups’ Taxes

The tax-exempt status of organizations that support terrorism would be terminated under H.R. 6408.

A terrorist-supporting organization would be defined as an group designated by the Treasury Department that’s provided material support or resources—such as property, financial securities, and weapons—to terrorist organizations above a minimal amount during a three-year period.

News reports have suggested certain tax-exempt nonprofit organizations may be providing funding and support to Hamas, according to a November 2023 news release from Rep. David Kustoff (R-Tenn.) the bill’s sponsor.

The committee report on the measure said the Treasury Department has only suspended the tax-exempt status of designated ...