WASHINGTON (Diya TV) — Rep. Chip Roy (R-Texas) has introduced new legislation aimed at eliminating tax-exempt status for organizations accused of having ties to terrorist groups. The bill directly targets groups such as the Council on American-Islamic Relations (CAIR), which Roy says has longstanding connections to extremist organizations.
The legislation, announced Tuesday in the House of Representatives, seeks to block federal tax benefits for any nonprofit organization with alleged links to terrorism. Roy said it is “absurd” that the United States continues to allow such groups to enjoy tax-exempt privileges while allegedly promoting or supporting violent agendas abroad.
“No organization with ties to terrorism should receive a tax benefit,” Roy said in a statement. “Americans are inadvertently subsidizing terror against themselves, and that must stop immediately.”
Roy specifically cited CAIR, saying the group should lose its nonprofit status because of its alleged connections to Hamas, the Muslim Brotherhood, and other extremist movements. “CAIR’s national executive director even praised Hamas’s barbaric Oct. 7 attacks against Israel,” he said.
CAIR, which has repeatedly denied any association with terrorist organizations, rejected Roy’s claims. The group said it opposes terrorism and condemned all forms of violence targeting civilians. In response to the criticism, CAIR argued that Israel’s military actions were responsible for the October 7 attacks.
The organization has long maintained that accusations of terrorism ties are politically motivated and meant to silence Muslim American advocacy. CAIR officials have also emphasized their work defending civil rights and fighting discrimination against Muslim communities in the United States.
Roy’s proposal has already drawn backing from several Republican lawmakers who share his concerns about national security and the misuse of nonprofit protections. Supporters of the bill argue that taxpayer dollars should never benefit groups accused of promoting extremist ideologies or aiding terrorism. Mark Levin, a Fox News host and conservative commentator, publicly praised Roy’s efforts. “Great job, Chip Roy,” Levin wrote, commending the bill’s introduction and calling it an important step toward protecting American interests.
If passed, the legislation would take effect for all taxable years ending after the date it becomes law. It would grant the Internal Revenue Service (IRS) greater authority to review the tax-exempt status of organizations linked to terrorism or foreign extremist activity. The debate over tax exemptions for controversial nonprofits has reignited broader questions about how the federal government defines and monitors extremism.
Critics of Roy’s bill argue that it could unfairly target Muslim organizations or be used to silence political dissent. Supporters counter that the legislation is necessary to prevent any group, regardless of religion or ideology, from receiving financial benefits while promoting or supporting terrorism. They say closing loopholes in the tax code would strengthen national security and protect American taxpayers.
Roy, a longtime critic of CAIR and other advocacy groups he considers hostile to U.S. interests, said his bill sends a clear message. “We cannot allow groups with ties to terrorism to hide behind charitable status,” he said. “It’s time to hold them accountable.”
The measure is expected to face debate in Congress, where lawmakers are divided on the issue. Democrats are likely to question the criteria used to determine what constitutes “ties to terrorism,” while Republicans are pushing for faster action. Analysts say the bill may struggle to advance in the Senate, where Democrats hold a slim majority. Still, the proposal highlights growing political pressure to review the tax privileges of nonprofit organizations accused of extremist affiliations.
