MD HB514

Prohibits charitable organizations recognized under IRS § 501(c)(3) from participating in or intervening in political campaigns on behalf of or in opposition to candidates for public office, including through publication or distribution of statements

Authorizes the Secretary of State and Attorney General, acting jointly, to revoke state tax-exempt status for charitable organizations that willfully violate the political activity prohibition, with revocations lasting 2 years

Imposes civil penalties up to $5,000 per violation for noncompliant organizations, with each consecutive 5-day period of continued violation counting as a separate offense

Allows organizations to avoid penalties by demonstrating the violating conduct was not authorized by leadership and publicly disclaiming the conduct within 7 days of receiving notice

Takes effect only if federal action (by the President, IRS, or Congress) prevents enforcement of or nullifies the Johnson Amendment, which currently prohibits 501(c)(3) organizations from political campaign activity at the federal level