The U.S. Internal Revenue Service has declared that churches and other houses of worship may endorse political candidates without losing their tax-exempt status, reversing more than 70 years of policy that kept partisan activity off the pulpit. In a 7 July filing in the U.S. District Court for the Eastern District of Texas, the IRS asked Judge J. Campbell Barker to approve a consent decree settling a suit brought by Sand Springs Church, First Baptist Church Waskom and the National Religious Broadcasters. The agency said remarks delivered “through customary channels of communication” during worship services are akin to a “family discussion” and therefore fall outside the Johnson Amendment’s prohibition on campaign intervention. The statement marks the first time the IRS has formally limited the reach of the 1954 Johnson Amendment, which bars all 501(c)(3) organisations from endorsing or opposing candidates. Although the agency has seldom enforced the ban, tax scholars called the written concession a significant shift. Supporters, including several evangelical pastors and President Donald Trump, hailed the move as a victory for religious free-speech rights. Opponents such as the Council of Nonprofits warned that it could open an opaque channel for tax-deductible campaign money and further erode the separation of church and state. The consent decree would technically apply only to the plaintiffs, but practitioners expect the IRS to follow the same interpretation more broadly if the judge signs off. Some denominations, including the U.S. Catholic bishops, say they will voluntarily continue to avoid explicit endorsements, while legal experts debate how the change may reshape campaign finance ahead of the 2026 mid-term elections.