President Donald Trump is reportedly considering a major escalation of his war against left-wing nonprofits with an executive order that would seek to suspend their tax-exempt status with the stroke of a pen.
The Wall Street Journal reported Friday that the order plans to label some nonprofit groups as having “terrorist” ties—an act that would immediately suspend their tax-exempt status, dramatically imperiling their ability to operate and raise money.
According to the report, the administration is seeking to use a little-known provision in the federal tax code to strip nonprofits of their status without going through the normal Internal Revenue Service investigation and appeals process.
The law, signed in 2003 by then-President George W. Bush, allows the president to identify an organization in an executive order as supporting or engaging in terrorism. The law also prevents organizations from challenging designation or suspension in proceedings concerning federal tax liability.
It’s not clear yet which groups will be targeted, but the administration and its allies in Congress have already signaled their intent to go after left-leaning groups like George Soros’ Open Society Foundations, the Southern Poverty Law Center (SPLC), and the Council on American-Islamic Relations (CAIR).
The latter was forced to cease operations in Florida Thursday following a state-level “terrorism” designation by Republican Gov. Ron DeSantis.

