Xavier Becerra: “I thank the gentleman for yielding. Mr. Speaker, I think it is, first, important to clarify this legislation impacts tax…”

“I thank the gentleman for yielding. Mr. Speaker, I think it is, first, important to clarify this legislation impacts tax exempt organizations under the Tax Code, section 501(c). Many of these tax exempt organizations we recognize as charities, like United Way and so forth, foundations. Social welfare organizations, they come in any variety. A social welfare organization, typically when we think social welfare, it means, essentially, organizations that are promoting the common good and the general welfare of the people of a community. Social welfare organizations. What the problem, then, here is that we have seen so many social welfare organizations, the 501(c)(4)s, become not promoters of social good, but some of the biggest campaign spenders in our election process. They use the loopholes in the Tax Code to be able to collect a whole bunch of money that usually Americans think goes to do social welfare and instead is now being used to drive our campaigns. So this is now the problem with this particular legislation. This legislation says: You know what? Those organizations right now have to document who is giving them money, who is contributing the dollars to them, if it is bigger than a $5,000 contribution. This bill says no longer would any of those 501(c) organizations, those tax exempt organizations, have to file the name of the contributor.…”