Tax Notes, “Pressure Mounts Over American-Islamic Group’s Tax-Exempt Status” (Jan. 5, 2026):
New federal legislation proposes eliminating the tax-exempt status of a civil rights nonprofit already facing increasing scrutiny from state governments.
Sen. Rick Scott, R-Fla., introduced the No Tax Exemption for Terror Act to end the Council on American-Islamic Relations’ (CAIR) treatment as a section 501(c)(3) organization.
“Groups like CAIR, which identify as charities yet have been identified by the FBI as having ties to terrorist activity, don’t deserve special tax treatment or get breaks designed for charitable organizations,” Scott said in a December 18 release.
Rep. Chip Roy, R-Texas, introduced similar legislation in the House.
