There exists a common misconception that not-for-profit organizations are strictly banned from lobbying for political, environmental, or other social issues. While these organizations are not banned from such activities, there are certain guidelines and boundaries that they must consider.
Generally, not-for-profits may not qualify for tax exemption if a substantial part of their activities are attempting to influence legislation. The definition of legislation is complex. According to the Internal Revenue Service (IRS), it includes:
Unfortunately, there is no bright-line test to follow. For example, when a hot-button issue spreads though Washington, D.C., nonprofits cannot rely on definitive guidelines for being treated as lobbyists.
Please select this link to read the complete article from OSAP Mission Partner Clark Schaefer Hackett (CSH).