
Darrell Byers/Reuters file
Scouts attend a prayer vigil at the Boy Scouts of America headquarters in Irving, Texas, on Feb. 6, 2013, while a decision to change the membership policy banning gays was being deliberated. The BSA decided to postpone that decision until May.
A proposed law in California to remove a state tax exemption for youth groups like the Boy Scouts that don’t allow gay members would set a dangerous precedent, according to an association of nonprofits.
The legislation, introduced by Democratic State Sen. Ricardo Lara on Tuesday, would deny exemptions from state corporate taxes and taxes on items such groups sell. It would also require them to pay corporate taxes on donations and other forms of income.
Lara and LGBT advocacy group, Equality California, said the bill was aimed at groups like the Boy Scouts of America, which has faced increasing protests over its longstanding policy banning gay Scouts and leaders. An expert said she believed it was the first time such a law had been proposed, though it follows the loss of corporate sponsorship dollars to the BSA due to the policy.
The California Association of Nonprofits, which has 1,500 member organizations, said it opposed the legislation in its current form, even though the group opposes discrimination based upon sexual orientation or gender identity as outlined in the bill, SB 323.
“ … we are against using the tax exemption as a way to compel change in a nonprofit's policies,” Kris Lev-Twombly, the group’s director of public policy, wrote late Wednesday in an email. “Stripping nonprofits of tax exemption on ideological grounds is a slippery slope. Nonprofits are the embodiments of free speech in our society. When we disagree with a nonprofit's policies, we should vote by moving our donation dollars and our volunteer feet elsewhere.”
The association said it is difficult to estimate how many of California's 50,000 nonprofits could be impacted because there is no reliable data on how many discriminate based upon sexual orientation.
“To lose state tax exemption in California could be significant for a nonprofit organization,” he said. “The bill is narrow in the sense that the provision applies specifically to youth organizations, but the question is how many organizations in California might be found to discriminate as outlined in the bill.”
The law would require two-thirds approval of both houses of the state legislature to win approval. Lara said the state already bans discrimination based on sexual orientation in public accommodations and government programs.
“Our state values the important role that youth groups play in the empowerment of our next generation; this is demonstrated by rewarding organizations with tax exemptions supported financially by all Californians,” he said in a statement. “SB 323 seeks to end the unfortunate discriminatory and outdated practices by certain youth groups by revoking their tax exemption privilege should they not comply with our non-discrimination laws.”
The Boy Scouts of America declined to comment on the legislation, which comes about two weeks after it postponed a decision on whether to end the policy at the national level and leave local sponsoring organizations free to decide for themselves whether to admit gay Scouts.
The BSA, a private youth organization, said it had received an outpouring of feedback on the membership guidelines after the potential change was announced in late January, and that it would take action on the issue at its national meeting in May.
Boy Scouts: We need more time for decision on gay membership
More than two-thirds of Scouting groups are affiliated with religious bodies. Among the top religious sponsors, The Church of Jesus Christ of Latter-day Saints have called for more time to discuss the issue, while the Southern Baptists on Tuesday passed a resolution rejecting the proposed change, according to the Baptist Press.
Pat Read, an independent consultant for nonprofits and foundations nationwide, said she believed such legislation was a first. However, she said there was a precedent, noting a 1983 Supreme Court case in which the IRS said it would no longer provide tax exempt status to private schools that practiced racial discrimination – a fight the federal tax agency won.
Read said the bill would have a financial impact and could potentially deter people from making donations.
“When the federal government or a state government stands up and says that this nonprofit is not a good nonprofit because of some policy it has adopted, it affects the ability of people to support that group, it affects how much money it has available to support its programs versus paying taxes, and it affects public opinion about the value of its work,” she said by phone from Boulder, Colo. “And all three things are important and all three things are at stake in this legislation.”
She said this legislation could wind up in court if it is approved, noting private organizations would likely object and say, "you have no right to try to tell us what to do.”
“Some of them will be saying, you know, 'well tough we don’t need the tax exemption,'” she added. “But there will be a price to be paid for that.”
If you are a current or former member of the Boy Scouts and would like to share your thoughts on how your troop, pack or council is handling the BSA's decision on the membership policy, you can email the reporter at miranda.leitsinger@msnbc.com. We may use some comments for a follow-up story, so please specify if your remarks can be used and provide your name, hometown, age, Boy Scout affiliation and a phone number.
Related:
'Nasty internal fight' or 'strategic pause': Boy Scouts supporters weigh delay on gays
After years of heartache, gay Scouts and supporters react warily over proposal to lift ban
'Gravely distressed': Religion looms large over Boy Scouts decision on gays
Gay teen denied Eagle Scout: 'Change is happening' over Boy Scouts anti-gay policy


The Boy Scouts obviously have become a religious organization for the most part.
What is obvious is that you come to conclusions with no facts.
Actually the BSA is non-sectarian and has no religious dogma, but it's been taken over by profoundly bigoted cults like the Mormons and Southern Baptists.
In fact, the largest Jewish scouting group has advised its members to quit the BSA because of their homophobic policies and their endorsement of Christofascism.
http://www.nytimes.com/2001/01/10/us/jewish-group-recommends-cutting-ties-to-boy-scouts.html
skrekk,
In fact, the BSA is nothing more than an indoctrination system for Mormonism. I thought that was common knowledge.
jpoochoo, as an Eagle Scout, here's my response to your statement:
BWA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA!
The Boy Scouts of America is an indoctrination system for Mormonism?
BWA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA HA!
Always has been.
I agree PeterMSmith......they have OBVIOUSLY never been a BSA. My husband is an Eagle Scout and I was in Girl Scouts which my mother taught. No one ever spoke af anything to do with Jews nor Mormons. You guys are searching for wierdos on the internet who are spewing out total nonsense. The BSA and GSA are wonderful organizations that presidents belonged to and teach values and hard work and responsibility. NO ONE is forced to join and THEY should be able to decide how they run their PRIVATE organization.
So, PeterMSmith, Did the Scouts teach you how to make such eloquent and meaningful responses to people who you don't agree with?
I'm guessing yes. Not at all surprising, either.
The GSA is a great organization which doesn't promote hate or bigotry, and doesn't discriminate against gays, transgendered kids, blacks or atheists.
The BSA is far more similar to the KKK than the GSA.
Ca is bankrupt, issues IOU's for tax refunds and they are worried about the BSA. HILARIOUS.
Sounds like you don't know much about California, or about how the current Progressive governor put the state back in the black.
Used to live in Cal (grew up there in the 60's and 70's) ..State taxes too high, too many illegal aliens and a basic cesspool of a state
Really Bill, my CA tax refund came back just fine. It's nice and sunny out here, and we're having a good old time. Thanks for leaving, didn't need you around to begin with.
bill....just like all the major problems we have and OBAMA is worried about the penny. Ridiculous.
skrekk.....who, oh you mean Governor Moonbeam?
PERVERTS ARE AT IT AGAIN!!!!! They goal is to force everyone to accept the perverted way of life style and then pay for their medical care that will be needed from all the foreign diseases they will spread to others!!!
Hey Ed, time to take that tinfoil hat off, it's leaving permanent tan lines
Here are some famous scouts who achieved Eagle Scout:
Neil Armstrong - 1st man on the moon
Marion Barry - former mayor of Washington D.C.
Lloyd Bentsen - Democratic Senator from TX and 1988 VP Candidate
Michael Bloomberg - current mayor of New York City
Steven Breyer - current U.S. Supreme Court Justice
James Brady - his shooting was impetus for the Brady Bill
Roger Chaffee - astronaut killed in Apollo 1 fire
Clive Cussler - noted author
Michael Dukakis - Governor of MA and 1988 Presidential Candidate
Charlie Duke - Apollo 16 astronaut
Gerald Ford - former President
Jon Huntsman - former Ambassador to China
Jim Lovell - Apollo 13 astronaut
Michael Moore - filmmaker
I guess they're all just a bunch of bigots.
ChrisMcK,
Looking at your list, I see that all these gentleman were Eagle Scouts when it was OK to discriminate. (Accepted as normal). As far as I am concerned they can discriminate as much as they want as long as no public funds are involved in thier organization. If public funds are involved, they should expect the public to be involved with thier organization.
Yep.....all those guys were scouts when the BSA still allowed troops to be racially segregated. It speaks volumes about the poor character of the organization.
You're right! That damn Michael Dukakis was a closet race baiter! No wonder he released Willie Horton.
Chris,
HaHa! LOL
LOVE IT.....ChrisMcK!
Senior State Senator Ricardo Lara, you must be gay or you have converted your children into gays so you can keep getting pervert votes and keep getting lucrative benefits as a Senator...
While we're at it, let's go after radical churches that hate gays and single parents. Let's take away the tax exemptions from 'religions' that promote killing members of other religions. Let's take away the tax exemptions from organizations claiming to be religions, but really are cults (Mormonism, FLDS, Scientologists). Stop allowing tax exemptions for any so called 'non-profit organizations' that pay their management most of the money taken in by donations. Let's also start making auto manufacturers, oil companies, airlines, unions and power companies pay their fair share of taxes.
backto, you forgot : Facebook, Google, GE, and many more
Why woud a SANE person want to be included in a group that deosn't want them ? LGBT or whatever the hell initials , why do you not start your own scouts ? This community wants to preach tolerance and acceptance , but as a whole this group is one of the most militant, close-minded , intolerant bunch in the USA.
Agreed that the BSA is profoundly bigoted, but many kids aren't aware of their sexual orientation when they first get involved in scouting.
A better question would be why did so many black kids want to join scouting before the mid-1970s, when the BSA had many whites-only troops?
Non profits in CA are not exempt from Sales tax currently, per BOA law, but it is still ridiculous how certain people think that forcing gay is right, down the throats of those of us who actually believe in the bible is your right. If you guys want to suck on another guys thing in private, go for it, but you have to admit the bible has guidance for those of you that do. Either here or hereafter you will learn.
Why don't they start with the church of westboro status? TAX EXEMPT MY @%$@% The lgbt go do your own thing you have destroyed a organziation that is good and has been for than 100 years. Next you will want something else, go p in the wind and see what its feels like. those boys work hard. Its like the churches that have one program for the girls and one for the boys, are you going to target them next? Don't even TRY IT. Your rights stop when they cross my rights. Go crawl under a rock you are destoying this society with your poor ole me attitude. SICK OF IT !!!!!!!!!!
Nothing more than retaliation and scare tactics to force people not just to accept you BUT to embrace them no matter what. It is a private organization, don't like it ? start your group.
You can't single out a single group for taxation. If they want to tax groups that don't allow lgbt (?) then they'll have to apply this to all organizations that follow the Bible. As with anything money talks. Money talks. If you don't like an organizations polices then don't buy their products, don't donate to them and don't support them.
Amen, TAX all religions. That should really be a big boost to lower our national debt.
Would anybody expect anything different from that crap-hole state?
Nothing they come up with should surprise anybody.
Yeah except we came up with the Internet, the computer you wrote that comment on, and we supply most of the taxes whatever welfare state you live in needs to survive.
California, what a terrible place :)
I DON'T THINK SO!
There is a petition at Whitehouse.gov for the President to end the DoD support of the Boy Scouts of America (BSA) until the BS lifts their ban on gay scouts and leaders.
The Department of Defense DoD supports the activities of the BSA. DoD has lifted its ban on gays serving in the Armed Forces. Until BSA lifts their ban on the participation of other than heterosexual males, the DoD should remove its sanctioning of BSA activities.
california sucks
Sure, keep saying that.
I agree, they should lose their tax exempt status if their taking public money and using public space, but why doesn't someone just start the "Gay Boyscouts of America"? Well they'd be sued probably for using the BOA name, so they'd have to change the name to "Gay Boytoopers of the United States" or something along those lines, but yeah go for it. To hell with the BOA!
This is long overdue and really has little or nothing to do with their approach to gay members. They have made it clear they are a private boys club and perhaps intend to stay that way. As such they deserve no special tax breaks.
Now if only they would do the same thing for these political oriented churches!
Hopefully this will be the first step in getting rid of all non-profit's special tax treatment. This could be a good slippery slope - as every special interest goes after their targeted tax exempt organization because they disagree with the organization's political or religious beliefs, eventually there won't be enough non-profits left to prevent the elimination of preferential tax treatment.
If people are donating to a non-profit and thereby not paying taxes on that income, someone has to pay those "lost taxes" or government services such as education must be cut. If the donor believes in whatever cause they are supporting, they will still donate. If they are primarily motivated by avoiding taxes, well, they shouldn't be able to do so.
Non-profits benefit from the government infrastructure as much as other businesses, why shouldn't they participate in funding it?
In America this bill is Unconstitutional on its face, but as of today no one is sure if California is part of America or a foreign country. When our President figures out where he's from he'll work on that issue afterwards.
Geez another moron who couldn't tell the Constitution from a KFC handywipe. I'll mail you a check for $10 if you can quote the part of the Constitution that limits the authority of a state to set it's own tax policy. Oh wait, it's not there you say? Wow, look at that.
Why don't the fruitloops just start their own organization? Why do they have to ram this b.s. down our throats? I'm all for equal rights - just not being bullied into acceptance and being forced to change foundational values of a (apparently-soon to be ONCE) great organization!
No one is ramming anything down your throats. The BSA can discriminate all it wants. But don't expect the taxpayers to subsidize it by granting an income tax exemption.
"Why don't the fruitloops just start their own organization? Why do they have to ram this b.s. down our throats? I'm all for equal rights...."
@Ess VDB, if you are all for equal rights/equality you might want to stop calling people fruit loops and just consider them as another human being. It's just a suggestion.
Oh, you mean you're suggestion is that I should self- infringe on my own freedom of speech/opinion? Tough crap - our Constitution isn't toast yet. Until that time, I will enjoy the freedoms that our Nation's forefathers laid down for my country!--ALL OF THEM!
I think it makes sense: You have to follow the democratically enacted laws against discrimination if you want a tax break. That goes for churches, too.
Umm they are not being forced to accept anything. They are being punished for discrimination, which in this country is illegal. This same sort of legislation should be levied against religious organizations, or is religion above the law as well?
oh my got, what a shock.... a democrat wants to tax another group. amazing
f
I have no problem with this legislation. No one is telling the BSA or any other group what to do. They can discriminate all they want. But if they do, they have to pay taxes on their income. The state should not subsidize discriminatory policies by granting a tax exemption. Remember, all corporate organizations are presumed taxable unless they apply for and receive an exemption from the feds and the state by meeting certain requirements. I see no reason why requiring such organizations not to discriminate as a condition for receiving a tax exemption should be controversial. It seems perfectly reasonable, IMHO.
Gunless, Godless, and Proud,
I agree. Why do people think that something is being shoved down someones throat or forced to do something. They can discriminate all they want. If they do so, they loose tax exempt status and free access to public lands.