While nonprofit organizations need to be aware of restrictions on the amount of “lobbying” in which their organization can engage, many activities that can help educate policymakers and influence policy development are not considered “lobbying” and therefore are not subject to those limitations.
IRS Policies for 501(c)(3) Nonprofit Organizations
Lobbying - This webpage provides a basic overview of the limitations on lobbying for 501(c)(3) organizations under the IRS rules.
Measuring Lobbying Activity: Substantial Part Test - This is the standard that the IRS applies if a nonprofit organization has not elected to use the “Expenditure Test."
Measuring Lobbying: Expenditure Test - The Expenditure Test is a more specific standard that the IRS uses to measure a nonprofit’s lobbying activities, if a nonprofit has elected to use this standard.
How to Comply with IRS Guidelines
Nonprofits and Lobbying: Yes They Can! - This article addresses some of the legal issues around lobbying and explains the differences between the terms “lobbying” and “advocacy.” It also outlines what activities are and are not permissible, such as partisan political activities, and discusses federal, state, and local rules for 501(c)(3) organizations.
Building Your Advocacy Toolbox: Advocacy vs. Lobbying - This fact sheet breaks down the difference between “advocacy” and “lobbying” and outlines ways in which public health organizations can engage in advocacy.
Worry-Free Lobbying for Nonprofits - This resource offers guidance on how 501(c)(3) organizations can elect to “take advantage of the clear definitions and generous limits on lobbying” as permitted in the IRS Tax Code.
The Nuts and Bolts of Lobbying for 501(c)(3) and 501(c)(6) Exempt Organizations - This presentation from Venable LLP outlines tax rules for lobbying, special restrictions for organizations receiving federal funds, definitions of lobbying terms, and ethics. It also addresses some basic “dos” “don’ts” for 501(c)(3) organizations that wish to participate in lobbying activities.
Being a Player: A Guide to the IRS Lobbying Regulations for Advocacy Charities - This guide provides an in-depth overview of different forms of lobbying that a nonprofit may engage in, advice on how to comply with tax laws limiting lobbying, and an explanation of special lobbying rules.
State Lobbying Registration Thresholds - This resource provides guidance for compliance with both federal and state tax law when participating in lobbying activities. It also includes a list of lobbying registration thresholds by state.
Legal Tips on Using Social Media for Advocacy - This fact sheet provides tips on how 501(c)(3) nonprofits can legally use social media for advocacy and when social media use counts as lobbying.
