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Rep. Smith: Crackdown on Tax-Exempt Funding of Radical Agendas

What Rep. Jason Smith revealed on Life, Liberty & Levin should make every taxpayer sit up and take notice: the same tax code that rewards patriots is being twisted to subsidize radical agendas and, in some cases, foment violence. Smith laid out how foreign actors and wealthy backers funnel money through U.S. nonprofits to bankroll protests and propaganda, and he made plain that this isn’t mere partisan rhetoric — it’s an attack on our communities and our national security.

As chairman of the House Ways and Means Committee, Smith has moved from rhetoric to action, demanding records and accountability from groups like The People’s Forum that have been tied to overseas influence operations. His letters and public statements argue that using tax-exempt status as a cover for foreign propaganda and incitement is unacceptable and potentially illegal, and he’s prepared to pursue revocation of privileges when warranted.

The money trail is clear in too many cases: American billionaires living abroad and shadowy donor networks have been linked to U.S. nonprofits that then bankroll disruptive, sometimes violent, demonstrations on our streets. When citizens see taxpayer-subsidized entities justifying or enabling violence, outrage is the only sane response — not complacency.

This is not a theoretical debate about ideology; it’s about whether the tax code will continue to be exploited to subsidize chaos. Republicans on the tax committee are right to press the Treasury and the IRS to crack down on fraud, extremism and foreign influence masquerading as charitable work, because the American people deserve transparency and protection.

Look at the real-world consequences: violent episodes at protests, attacks on law enforcement and campuses, and brazen efforts to shape our politics with foreign-funded narratives. We cannot allow our laws to create perverse incentives that make it profitable to sow disorder; those who exploit nonprofit status to do harm must lose their special tax privileges and face the full force of oversight.

There will be pushback from the partisan class that benefits from the status quo, but reform is both necessary and lawful — legal experts are already scrutinizing how the tax code and existing statutes intersect with national security and ideological policing. Congress should move decisively to close loopholes, strengthen FARA enforcement where appropriate, and ensure that tax-exempt status is a privilege reserved for genuine charitable activity, not a shield for foreign influence.

Patriots who care about safe streets and honest government should back Chairman Smith’s effort to reclaim the tax code for hardworking Americans. This is about defending our communities, our institutions, and our sovereignty — and if Washington won’t act, voters must demand it at the ballot box.

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