,i  #aaf? ,,congress  #b;d ,session  ,h4
 ,r4 #gebe  ,,9 ,,! ,,h\se ,,(          
,,repres5tatives  ,july #i1 #bjbj,mr4   
,gold5 introduc$ ! foll[+ bill2 :i* 0   
ref]r$ to ! ,committee on ,ways & ,means
  ,a ,,bill  ,to am5d ! ,int]nal ,rev5ue
 ,code ( #aihf to prohibit #eja7;c77#d7 
entities f us+ m ?an #aj p]c5t ( total  
exp5ditures on c]ta9 political          
exp5ditures1 & = o!r purposes4  #a4     
,%ort title ,?is ,act may be cit$ z !   
,crack ,d[n on ,d>k ,money ,act4  #b4   
,limitation on cov]$ political          
exp5ditures by social welf>e            
organizations  7a7 ,9 g5]al ,section    
#eja7;c77#d7 ( ! ,int]nal ,rev5ue ,code 
( #aihf is am5d$ by add+ at ! end !     
foll[+3  7,c7 7i7 ,subp>agraph 7,a7 %all
 n apply to an entity = a taxable ye> if
 m ?an #aj p]c5t ( ! total exp5ditures =
 ! taxable ye> are cov]$ political      
exp5ditures4  7ii7 ,= purposes ( ?is    
subp>agraph1 ! t]m cov]$ political      
exp5ditures means direct or indirect    
exp5ditures = an exempt function        

describ$ 9 section #ebg7;e77#b74  7iii7 
,! ,secret>y %all prescribe su*         
regulations z may be necess>y or        
appropriate to prev5t ! avoidance (     
clause 7i71 includ+ regulations relat+  
to a direct or indirect transf] ( all or
 "p ( ! assets ( an entity to an entity 
controll$ 7directly or indirectly7 by ! 
same p]son or p]sons :o control !       
transf]or entity4  4  7b7 ,expansion (  
political organization def9ition        
,section #ebg7;e77#a7 ( su* ,code is    
am5d$ by /rik+ organiz$ & op]at$        
prim>ily = ! purpose ( & ins]t+ 1 unless
 su* organization is n e/abli%$ "u ?is  
section14  7c7 ,political int]v5tion    
add$ ,to exempt function def9ition      
,section #ebg7;e7 ( su* ,code is am5d$--
 7#a7 9 p>agraph 7#b7-- 7,a7 by /rik+   
includes ! mak+ ( exp5ditures relat+ to 
an (fice describ$ 9 ! prec$+ s5t5ce :i*1
 if incurr$ by ! individual1 w\ld be    
all[able z a d$uction "u section        
#afb7;a74 & ins]t+ includes-- 7,a7 !    
mak+ ( exp5ditures relat+ to an (fice   

describ$ 9 ! prec$+ s5t5ce :i*1 if      
incurr$ by ! individual1 w\ld be        
all[able z a d$uction "u section        
#afb7;a71 &  7,b7 political int]v5tion4 
1 &  7,b7 by add+ at ! end ! foll[+ new 
p>agraph3  7#f7 ,political int]v5tion ,!
 t]m political int]v5tion has ! mean+   
giv5 to su* t]m by section #dief4  4    
7d7 ,effective date ,! am5dm5ts made by 
?is section %all apply to contributions 
made 9 taxable ye>s beg9n+ aft] ,decemb]
 #ca1 #bjbj4  #c4 ,political int]v5tion 
7a7 ,disclosure requirem5t ,section     
#fajd7;d77#c7 ( ! ,int]nal ,rev5ue ,code
 ( #aihf is am5d$ by add+ at ! end !    
foll[+ new subp>agraph3  7,c7 ,c]ta9    
#eja7;c77#d7 organizations mu/ disclose 
c]ta9 donors ,9 ! case ( an organization
 describ$ 9 section #eja7;c77#d7 t sp5ds
 funds on political int]v5tion 7z def9$ 
9 section #dief71 su* organization %all 
be requir$ to disclose ! "n & address ( 
any contributor donat+ #e1jjj or m to   
su* organization1 & su* in=mation %all  
be made op5 to public inspection 9 !    

mann] describ$ 9 subsection             
7a77#a77;,a74  4  7b7 ,political        
int]v5tion def9$ ,sub*apt] ,c ( *apt]   
#db ( subtitle ,d ( ! ,int]nal ,rev5ue  
,code ( #aihf is am5d$ by add+ at ! end 
! foll[+ new section3  #dief4 ,political
 int]v5tion  7a7 ,political int]v5tion  
def9$ ,= purposes ( ?is section1 ! t]m  
political int]v5tion means 7except z    
provid$ 9 subsection 7b771 ) respect to 
activities conduct$ by an organization 9
 relation to ,f$]al1 ,/ate1 local1 &    
=eign election campaigns ( c&idates =   
public (fice-- 7#a7 express advocation--
 7,a7 = ! election1 defeat1 nom9ation1  
or recall ( a political c&idate1  7,b7 =
 ! election or defeat ( c&idates        
affiliat$ ) a specific political p>ty1  
7,c7 t vot]s select c&idates = support  
or opposition bas$ on "o or m crit]ia t 
cle>ly di/+ui% c]ta9 c&idates f o!r     
c&idates1 or  7,d7 ! mak+ (             
contributions to a c&idate's campaign1 a
 political p>ty1 or 7unless !           
contribution is re/rict$ s t x mu/ n be 

us$ to support political int]v5tion7 any
 o!r political organization )9 ! mean+ (
 section #ebg7;e77#a71  7#b7            
communication to any "p ( ! electorate1 
o!r ?an an express advocacy             
communication )9 ! mean+ ( clause 7i71  
if ! communication-- 7,a7 ref]s to a    
political c&idate1 &  7,b7 reflects a   
view on su* c&idate1 &  7#c7 political  
use ( res\rces4  7b7 ,exceptions ,a     
communication describ$ 9 subsection 7a7 
%all n con/itute political int]v5tion   
if-- 7#a7 x does n consi/ ( paid mass   
m$ia adv]tis+1 &  7#b7 x falls "u "o ( !
 foll[+ exceptions3 7,a7 ,communications
 to influ5ce (ficial action ,comm5t>y on
 a public (ficial t has a direct1       
limit$1 & reasonable relation%ip to     
specific actions ! (ficial may yet p]=m 
)9 8 or h] curr5t t]m ( (fice )\t m5tion
 ( any election or vot+ 9 an election1  
or ( ! (ficial's c&idacy or oppon5t4    
7,b7 ,vot] education ,vot] education    
activities or ! dissem9ation ( mat]ials 
t comp>e two or m c&idates = an (fice1  

includ+ mat]ials disclos+ ! views ( !   
organization on political issues1 if !  
communication consi/s solely ( cont5t 9 
:i* ! "t1 text1 or space is (f]$ 9 equal
 %>es to ea* ( ! p>ticipat+ c&idates1 & 
! organization's %>e ( cont5t is no     
great] ?an ! %>e available to any ( !   
p>ticipat+ c&idates4 ,! opportunity to  
p>ticipate1 includ+ a full description (
 ! opportunity & ( ! organization's %>e 
( ! cont5t1 if any1 mu/ be giv5 to all  
c&idates meet+ an objective ?re%old (   
viability = nom9ation or election to !  
(fice at lea/ #gb h\rs 9 advance ( !    
f9al prep>ation ( ! communication4  7,c7
 ,self-def5se communications ,a response
 by ! organization to a public or       
publicly-report$ /atem5t by a c&idate or
 c&idates t ei!r 7i7 attacks !          
organization itself1 or 7ii7 comm5ts ^u 
a specific public policy position t !   
organization has tak5 publicly 9        
fur!rance ( its exempt purpose )9 !     
prior ye>1 or 7iii7 results 9 press     
inquiries to ! organization t 7 n       

solicit$ subsequ5t to ! c&idate's       
/atem5t by ! organization4 ,! response  
by ! organization mu/ be educational1   
limit$ topically to address+ ! c&idate's
 /atem5t1 & z to 7i7 or 7ii71 dissem9at$
 9 a mann] comm5surate 9 m$ium & scale1 
& proximate 9 "t1 to ! publicity ( !    
c&idate's /atem5t1 & z to 7iii71 limit$ 
to dissem9ation to ! reque/+ press      
organization4  7,d7 ,p]sonal1 oral      
rem>ks at (ficial meet+s ,oral rem>ks   
made by anyone o!r ?an a c&idate :o is  
pres5t 9 p]son at an (ficial meet+ ( an 
organization held 9 a s+le room or      
location1 s long z-- 7i7 no ann\ncem5t (
 ! meet+ ref]s to any c&idate1 p>ty1    
election1 or vot+1 &  7ii7 a disclaim]  
is made to ^? 9 att5dance1 /at+ t rem>ks
 are ! speak]'s p]sonal op9ion & are n  
made on behalf ( ! organization4  ,?is  
exception cov]s only oral rem>ks made by
 & to p]sons 9 att5dance1 & n any o!r =m
 ( communication or r$i/ribution ( ^?   
rem>ks1 :e!r writt51 electronic1        
record$1 broadca/1 or o!rwise           

transmitt$4  7c7 ,def9itions ,= purposes
 ( ?is section-- 7#a7 ,c&idate ,! t]m   
c&idate means a p]son :o (f]s himself or
 h]self = election to public (fice or ^:
 election ! p]son conduct+ ! activity or
 mak+ ! exp5diture 9 "q expressly       
proposes1 supports1 or opposes4  7#b7   
,election ,! t]m election means a       
process culm9at+ 9 a vote by ! public to
 det]m9e :e!r a c&idate w s]ve 9 a      
public (fice1 includ+ prim>y1 g5]al1    
special1 & run(f elections1 nom9ations  
by caucus1 conv5tion1 or o!r means1 &   
recall & confirmation votes4  7#c7 ,paid
 mass m$ia adv]tis+  7,a7 ,9 g5]al ,!   
t]m paid mass m$ia adv]tis+ means       
communication to ! g5]al public plac$ = 
a fee on "o ( ! foll[+ m$ia op]at$ by   
ano!r p]son3 a broadca/1 cable1 or      
satellite facility1 newspap]1 magaz9e1  
outdoor adv]tis+ facility1 mass mail+   
s]vice1 telephone bank1 or ano!r p]son's
 website or int]net communications      
s]vice4  7,b7 ,mass mail+ ,! t]m mass   
mail+ means-- 7i7 a mail+ by ,unit$     

,/ates mail or facsimile1  7ii7 ( m ?an 
#ejj pieces ( mail matt] ( an id5tical  
or sub/antially simil> nature )9 any    
#cj-;day p]iod1 &  7iii7 t is n vot]    
education mat]ials4  7#d7 ,political use
 ( res\rces ,! t]m political use (      
res\rces-- 7,a7 means-- 7i7 ! provision 
any ( an organization's res\rces1       
tangible or intangible1 includ+ monet>y 
or 9-k9d1 goods1 s]vices1 or facilities1
 by gift1 loan1 sale1 r5tal1 or any o!r 
me?od ( transf] to ano!r p]son or       
entity1 if-- 7,i7 ! transf]ee uses su*  
res\rces to support or oppose any       
c&idate's election to public (fice1     
7,,ii7 su* use is reasonably =eseeable1 
&  7,,iii7 if ! transf]or has n tak5    
reasonable /eps to prev5t su* use1  7ii7
 any o!r transf] t is a reportable      
contribution relat$ to "o or m c&idates 
= elective public (fice1 to a political 
p>ty1 or 7unless ! transf] is re/rict$ s
 t x mu/ n be us$ to support political  
int]v5tion7 to any o!r political        
organization )9 ! mean+ ( section       

#ebg7;e77#a71 &  7iii7 any o!r use ( an 
organization's res\rces 9 support ( or  
opposition to a c&idate1 if n           
specifically all[$ "u a ,rev5ue ,rul+ or
 o!r ,f$]al tax au?ority1 &  7,b7 does n
 include a transf] t is-- 7i7 made 9 a  
transaction 9 :i* ! fair m>ket value (  
goods or s]vices provid$ by !           
organization does n exce$ ! value ( !   
consid]ation receiv$ 9 ex*ange1  7ii7   
simil> to o!r transactions conduct$ by !
 organization1 &  7iii7 )\t pref]5ce =  
or aga9/ any c&idate4  7d7 ,regulations 
,! ,secret>y %all prescribe su*         
regulations & o!r guidance z may be     
appropriate or necess>y to c>ry out !   
purposes ( ?is section4  4  7c7 ,con=m+ 
am5dm5ts  7#a7 ,! head+ = sub*apt] ,c ( 
*apt] #db ( su* ,code is am5d$ by add+  
at ! end ! foll[+3 2 political          
int]v5tion4  7#b7 ,! table ( sections = 
su* sub*apt] ,c is am5d$ by add+ at !   
end ! foll[+3  ,sec4 #dief4 ,political  
int]v5tion4  4  7#c7 ,! item 9 ! table (
 sub*apt]s ( su* *apt] #db relat+ to    

sub*apt] ,c is am5d$ to read z foll[s3  
,sub*apt] ,c4 ,political exp5ditures (  
section #eja7;c77#c7 organizations2     
political int]v5tion4  4  7d7 ,effective
 date ,! am5dm5ts made by ?is section   
%all apply to contributions made 9      
taxable ye>s beg9n+ aft] ,decemb] #ca1  
#bjbj4