Section 527 Organization

Internal revenue code 26 u s c.

Section 527 organization. A 527 is a non profit organization formed under section 527 of the internal revenue code which grants tax exempt status to political committees at the national state and local level. A 527 group is created primarily to influence the selection nomination election appointment or defeat of candidates to federal state or local public office. Such organizations can raise unlimited funds from individuals corporations or labor unions but they must register with the irs and disclose their contributions and expenditures.

Tax exempt organization organized under section 527 of the u s. The number 527 refers to the section of the tax code that governs such entities. 527 a general rule a political organization shall be subject to taxation under this subtitle only to the extent provided in this section.

For example a 527 organization may be formed to campaign for or against banking regulation. Information provided under subsection a shall be included in any appropriate form instruction notice or other guidance issued to the public by the secretary of the treasury or the federal election commission regarding reporting requirements of political organizations as defined in section 527 of the internal revenue code of 1986 or reporting requirements under the federal election campaign act of 1971 52 u s c. A political organization shall be considered an organization exempt from income taxes for the purpose of any law which refers to organizations exempt from income taxes.

They are political campaign groups officially unaffiliated to individual parties or candidates and therefore not liable for campaign spending restrictions. Plug in a donor s name to see a list of their contributions or search for a particular 527 organization to view a profile of their financial activity. Wondering what past mega donors to 527 organizations are up to this cycle.

Over the past several years the term has come to refer to a new form of political organization operating in a gray area of the law. 527 organisations are named after a section of the us tax code 26 u s c. An issue policy appointment or election be it federal state or local.

Want to research a particular 527 group running ads in your area. A 527 organization or 527 group is a type of u s.