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House Bill Limits Donations to Political Groups

April 6, 2006

The House of Representatives has passed a campaign-finance bill that would place strict limits on contributions to nonprofit political organizations, reports The Washington Post. These committees, named “527 groups” for a section of the Internal Revenue Code, are classified as tax-exempt organizations but can use partisan ads to influence federal elections.

However, the bill also would lift caps on political parties’ spending, a move that would disproportionately help Republican candidates, whose party has raised more money in recent years than the Democrats, the article states.