# Plain Language Summary: No Tax Dollars for Riots

This bill would punish nonprofit organizations if their leaders or board members are convicted of rioting or inciting riots. Specifically, it targets two federal crimes: assaulting federal officers and inciting civil disorder. If someone in a leadership position at a nonprofit gets convicted of either of these crimes while serving in that role, the organization would face serious consequences.

The penalties work in two ways. First, the nonprofit would lose access to any federal funding—things like grants, contracts, or other money that comes from the government. Second, the organization would lose its tax-exempt status, meaning it would have to start paying federal taxes like a regular business. This would apply starting from the date the conviction happens. So if a nonprofit's executive director or board member is convicted of rioting, that entire organization could lose federal funding and its tax benefits, even if the organization itself didn't participate in any wrongdoing.

The bill is intentionally broad in how it defines who counts as a "leader"—it includes any officer or board member, not just the top executives. This means a single board member's conviction could trigger these penalties for the entire organization. The bill doesn't require that the nonprofit itself funded or encouraged the rioting; the conviction of any leader or board member is enough to trigger the consequences. For nonprofits that depend on federal grants or rely on their tax-exempt status to operate, this could be financially devastating.