H.R. 2896 — Safeguarding Charity Act

This section establishes in title 1, United States Code, that for purposes of any federal law, rule, or regulation, the term "Federal financial assistance" (or similar terms) does not include exemptions from federal income tax for organizations described in IRC §501(c) or (d) (i.e., certain nonprofits and religious trusts) or §401(a) (i.e., qualified pension, profit-sharing, and stock bonus trusts), unless explicitly provided otherwise. (Thus, such tax exemptions do not trigger federal assistance requirements such as civil rights or reporting obligations.)