[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[H.R. 8314 Reported in House (RH)]

<DOC>





                                                 Union Calendar No. 546
118th CONGRESS
  2d Session
                                H. R. 8314

                          [Report No. 118-649]

  To amend the Internal Revenue Code of 1986 to impose penalties with 
   respect to contributions to political committees from certain tax 
exempt organizations that receive contributions from foreign nationals.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                              May 8, 2024

 Ms. Malliotakis introduced the following bill; which was referred to 
                    the Committee on Ways and Means

                           September 6, 2024

                    Additional sponsor: Mr. Gallego

                           September 6, 2024

  Reported with an amendment, committed to the Committee of the Whole 
       House on the State of the Union, and ordered to be printed
 [Strike out all after the enacting clause and insert the part printed 
                               in italic]
[For text of introduced bill, see copy of bill as introduced on May 8, 
                                 2024]


_______________________________________________________________________

                                 A BILL


 
  To amend the Internal Revenue Code of 1986 to impose penalties with 
   respect to contributions to political committees from certain tax 
exempt organizations that receive contributions from foreign nationals.


 


    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``No Foreign Election Interference 
Act''.

SEC. 2. PENALTIES WITH RESPECT TO CONTRIBUTIONS TO POLITICAL COMMITTEES 
              FROM CERTAIN TAX EXEMPT ORGANIZATIONS THAT ACCEPT 
              CONTRIBUTIONS FROM FOREIGN NATIONALS.

    (a) In General.--Part I of subchapter B of chapter 68 of the 
Internal Revenue Code of 1986 is amended by adding at the end the 
following new section:

``SEC. 6720D. CONTRIBUTIONS TO POLITICAL COMMITTEES FROM CERTAIN TAX 
              EXEMPT ORGANIZATIONS THAT ACCEPT CONTRIBUTIONS FROM 
              FOREIGN NATIONALS.

    ``(a) In General.--Any specified tax exempt organization that makes 
any disqualified political committee contribution shall pay a penalty 
equal to twice the amount of such contribution.
    ``(b) Disqualified Political Committee Contribution.--For purposes 
of this section--
            ``(1) In general.--The term `disqualified political 
        committee contribution' means, with respect to any organization 
        described in section 501(c), any contribution made by such 
        organization to a political committee (as defined in section 
        301 of the Federal Election Campaign Act of 1971 (52 U.S.C. 
        30101)) if such organization received, during any testing 
        period, any contribution or gift (within the meaning of section 
        6033(b)(5)) from a foreign national (as defined in section 
        319(b) of the Federal Election Campaign Act of 1971 (52 U.S.C. 
        30121(b))).
            ``(2) Testing period.--The term `testing period' means, 
        with respect to any contribution by an organization described 
        in section 501(c), the 8-year period ending on the date of such 
        contribution, except that such period shall not include any 
        period before the date of the enactment of this section.
    ``(c) Specified Tax Exempt Organization.--For purposes of this 
section--
            ``(1) In general.--The term `specified tax exempt 
        organization' means, with respect to any taxable year, any 
        organization described in section 501(c) and exempt from tax 
        under section 501(a) if--
                    ``(A) the gross receipts of such organization for 
                such taxable year equal or exceed $200,000, or
                    ``(B) the assets of such organization (determined 
                as of the close of such taxable year) equal or exceed 
                $500,000.
            ``(2) Coordination with revocation of tax exempt status by 
        reason of making disqualified political committee 
        contributions.--An organization which is not exempt from tax 
        under section 501(a) solely by reason of section 501(s) shall 
        be treated for purposes of paragraph (1) of this subsection as 
        exempt from tax under section 501(a) with respect to the 
        application of this section to the first 3 disqualified 
        political committee contributions of such organization.''.
    (b) Revocation of Exempt Status Upon Third Disqualified Political 
Committee Contribution.--Section 501 of the Internal Revenue Code of 
1986 is amended by adding at the end the following new subsection:
    ``(s) Revocation of Exempt Status of Certain Organizations That 
Accept Contributions From Foreign Nationals and Make Contributions to 
Political Committees.--Any organization described in subsection (c) 
which makes more than 2 disqualified political committee contributions 
(as defined in section 6720D(b)) shall not be exempt from taxation 
under subsection (a) for any taxable year ending on or after the date 
of the third such contribution.''.
    (c) Clerical Amendment.--The table of sections for part I of 
subchapter B of chapter 68 of such Code is amended by adding at the end 
the following new item:

``Sec. 6720D. Contributions to political committees from certain tax 
                            exempt organizations that accept 
                            contributions from foreign nationals.''.
    (d) Effective Date.--The amendments made by this section shall 
apply with respect to contributions made on or after January 1, 2025, 
by organizations described in section 501(c) of the Internal Revenue 
Code of 1986.
                                                 Union Calendar No. 546

118th CONGRESS

  2d Session

                               H. R. 8314

                          [Report No. 118-649]

_______________________________________________________________________

                                 A BILL

  To amend the Internal Revenue Code of 1986 to impose penalties with 
   respect to contributions to political committees from certain tax 
exempt organizations that receive contributions from foreign nationals.

_______________________________________________________________________

                           September 6, 2024

  Reported with an amendment, committed to the Committee of the Whole 
       House on the State of the Union, and ordered to be printed