Has the IRS Changed Its Approach to Church Political Speech?

Many pastors have heard of something called the “Johnson Amendment,” even if they don’t know it by name. It’s the part of federal tax law that impacts how churches, as tax-exempt organizations, engage in religious speech that might intersect with politics.

In July 2025, a legal challenge to the Johnson Amendment prompted important developments in how the Internal Revenue Service (IRS) articulated its enforcement posture toward churches.

That case is still unfolding, and the court is expected to take action soon.

For pastors and church leaders, this is a good time to revisit what has happened, what has not changed, and what to watch for next.

A Brief Refresher

The Johnson Amendment was added to the U.S. tax code in 1954. It prohibits 501(c)(3) organizations, including churches, from participating in or intervening in political campaigns for or against candidates for public office.

The potential penalty for violating the Johnson Amendment is severe: loss of tax-exempt status.

The rule has created a significant chilling effect. Many pastors have expressed concern that preaching on political issues could jeopardize their church’s charitable status.

The Legal Challenge

In 2024, the National Religious Broadcasters, two local churches, and a Christian nonprofit challenged the Johnson Amendment in federal court.

In early July of 2025, the IRS agreed on language for a consent decree, although it still needs to be approved and entered by the Court. In that decree, the IRS agreed it would not enforce the Johnson Amendment against the parties in the case for:

“speech by a house of worship to its congregation, in connection with religious services through its customary channels of communication on matters of faith, concerning electoral politics viewed through the lens of religious faith.”

This statement marks an important development. The IRS has not previously articulated its interpretation of the Johnson Amendment, as applied to churches, in this way.

The language suggests that the agency does not consider in-service speech directed to a church’s own congregation a violation of the Johnson Amendment.

Where Things Stand Now

The court has not yet entered the consent decree. A third party, Americans United for Separation of Church and State, sought to intervene in the case to challenge it.

But the court is expected to take action soon. A spectrum of possibilities remains open: the court may approve the decree as written, approve it while issuing an opinion that clarifies its scope, allow further briefing if additional parties are permitted to intervene, or decline to approve the agreement.

What This Means for Churches

This case signals how the IRS interprets the Johnson Amendment and thus that the IRS does not intend to penalize churches for preaching biblical truth to their own congregations during religious services, even when those teachings intersect with electoral politics.

That is encouraging.

But the decree remains limited in several ways. The Johnson Amendment remains on the books, and churches should exercise prudence when navigating other activities that could be considered political.

The ADF Church & Ministry Alliance program will continue monitoring the case as the court prepares its ruling. In the meantime, we encourage church leaders to review our Church & Politics Guide, which provides practical guidance to help you steward your church’s mission while maintaining a firm legal foundation.

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