Churches will not lose tax-exempt status over endorsing candidates from the pulpit, says the IRS|TravelingOtter|CC BY-SA 2.0

The Internal Revenue Service announced yesterday that it will allow churches to endorse political candidates to their congregations without jeopardizing their tax-exempt status, marking a reversal of a 70-year-old interpretation of the US tax code.

Previously, the tax code under the Johnson Amendment prohibited certain nonprofit groups, including churches, from endorsing political candidates without risking their tax-exempt designation.

An association of Christian broadcasters had filed a lawsuit against the IRS, challenging the 1954 tax code provision, arguing that the law violated their rights to freedom of speech and free exercise of religion under the US Constitution.

Critics warned that allowing tax-exempt organizations to endorse political candidates could pave the way for political groups to use nonprofits as a legal front.