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IRS rule shielding political donors blocked by federal judge

A Trump administration rule permitting many politically active nonprofits to keep their donors a secret has been upended by a federal judge, who says the regulation was written with illegal secrecy.

The IRS decided one year ago to allow so-called 501(c)4 organizations, known as social-welfare groups, to generally keep their contributor lists from the IRS – further accelerating the flow of anonymously donated "dark money" into campaigns. Prominent examples of these organizations are the National Rifle Association, the AARP, Democratic Socialists of America and the Koch brothers' Americans for Prosperity. They are permitted to retain their tax-exempt status so long as they spend less than half their money trying to influence elections.

But a federal trial judge in Montana, Brian Morris, ruled this week that the IRS moved too quickly in its rulemaking and did not give the public a formalize means to weigh in.


The judge was acting on a lawsuit brought by Democratic Gov. Steve Bullock, a long-shot presidential candidate, and the state of New Jersey. Its attorney general, Gurbir Grewal, called the decision a "big win for democracy" because "not only did the IRS try to make it easier for dark money groups to hide their funding sources, it did so behind closed doors."

Treasury Secretary Steven Mnuchin had defended the regulation, which applied to donors of more than $5,000, as protecting individual benefactors' privacy. Advocates for tougher campaign finance regulation said it continued the trend of porousness that permitted potential abuse, including foreign interference in elections.

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Independent Voters Just Got Power in Nevada – if the Governor Lets It Happen

"On Las Vegas Boulevard" sign.

Photo by Wesley Tingey on Unsplash. Unplash+ license obtained by IVN Editor Shawn Griffiths.

Independent Voters Just Got Power in Nevada – if the Governor Lets It Happen

CARSON CITY, NEV. - A surprise last-minute bill to open primary elections to Nevada’s largest voting bloc, registered unaffiliated voters, moved quickly through the state legislature and was approved by a majority of lawmakers on the last day of the legislative session Monday.

The bill, AB597, allows voters not registered with a political party to pick between a Republican and Democratic primary ballot in future election cycles. It does not apply to the state’s presidential preference elections, which would remain closed to registered party members.

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In April 2025, the SAVE Act has been reintroduced in the 119th Congress and passed the House, with a much stronger chance of becoming law given the current political landscape.

SDI Productions

The SAVE Act: Addressing a Non-Existent Problem at the Cost of Voter Access?

In July 2024, I wrote about the Safeguard American Voter Eligibility (SAVE) Act when it was first introduced in Congress. And Sarah and I discussed it in an episode of Beyond the Bill Number which you can still listen to. Now, in April 2025, the SAVE Act has been reintroduced in the 119th Congress and passed the House, with a much stronger chance of becoming law given the current political landscape. It's time to revisit this legislation and examine its implications for American voters.

Read the IssueVoter analysis of the bill here for further insight and commentary.

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Independent Voters Gain Ground As New Mexico Opens Primaries
person in blue denim jeans and white sneakers standing on gray concrete floor
Photo by Phil Scroggs on Unsplash

Independent Voters Gain Ground As New Mexico Opens Primaries

With the stroke of a pen, New Mexico Governor Michelle Lujan Grisham enfranchised almost 350,000 independent voters recently by signing a bill for open primaries. Just a few years ago, bills to open the primaries were languishing in the state legislature, as they have historically across the country. But as more and more voters leave both parties and declare their independence, the political system is buckling. And as independents begin to organize and speak out, it’s going to continue to buckle in their direction.

In 2004, there were 120,000 independent voters in New Mexico. A little over 10 years later, when the first open primary bill was introduced, that number had more than doubled. That bill never even got a hearing. But today the number of independents in New Mexico and across the country is too big to ignore. Independents are the largest group of voters in ten states and the second-largest in most others. That’s putting tremendous pressure on a system that wasn’t designed with them in mind.

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"Voter Here" sign outside of a polling location.

"Voter Here" sign outside of a polling location.

Getty Images, Grace Cary

Stopping the Descent Toward Banana Republic Elections

President Trump’s election-related executive order begins by pointing out practices in Canada, Sweden, Brazil, and elsewhere that outperform the U.S. But it is Trump’s order itself that really demonstrates how far we’ve fallen behind. In none of the countries mentioned, or any other major democracy in the world, would the head of government change election rules by decree, as Trump has tried to do.

Trump is the leader of a political party that will fight for control of Congress in 2026, an election sure to be close, and important to his presidency. The leader of one side in such a competition has no business unilaterally changing its rules—that’s why executive decrees changing elections only happen in tinpot dictatorships, not democracies.

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