August 18, 2026 · Information Integrity, Press & Democratic Norms
· Proposed rule
Developing
IRS Weighs Forcing Nonprofits to Disclose Terrorism and Fraud Convictions of Their Board Members
The Trump administration is weighing an addition to Form 990, the annual nonprofit tax return, requiring groups to disclose whether their officers or directors have been convicted of certain crimes, sources with direct knowledge told CBS News on Aug. 18, 2026. Reportable offenses would include material support for terrorism, fraud, money laundering and tax evasion. Nothing is final.
Serving on a nonprofit board with a felony record does not violate federal law, and the IRS has no stated authority to act on the information; some IRS officials have privately called it potential political targeting that could draw First Amendment challenges.
A Treasury spokesperson said the department is weighing 'a range of measures to strengthen accountability for nonprofit organizations.' Tax lawyers say it would collide with Americans for Prosperity v. Bonta.
Serving on a nonprofit board with a felony record does not violate federal law, and the IRS has no stated authority to act on the information; some IRS officials have privately called it potential political targeting that could draw First Amendment challenges.
A Treasury spokesperson said the department is weighing 'a range of measures to strengthen accountability for nonprofit organizations.' Tax lawyers say it would collide with Americans for Prosperity v. Bonta.
Sources
- IRS proposal would force nonprofits to disclose fraud or terrorism convictions of leaders — CBS News, 2026-08-18