Nonprofits likely under fire as Senate explores ‘dark money’

By DAN PARKS of The Chronicle of Philanthropy
Chronicle of Philanthropy

A Senate hearing on Wednesday is likely to produce fireworks as Republicans and Democrats square off over the role that foundations and nonprofits are playing in elections. The Senate Finance subcommittee on Taxation and IRS Oversight offers no description of the hearing beyond the title “Laws and Enforcement Governing the Political Activities of Tax Exempt Entities.” Even the witnesses who will testify are uncertain of its focus. It appears likely that subcommittee chairman Sheldon Whitehouse wants to raise concerns about “dark money” flowing through 501(c)(4) nonprofits, but Republicans plan to widen the scope of the hearing to highlight what they see as illegal political activities by 501(c)(3) charities and foundations.