On September 25, 2025, President Trump issued a National Security Presidential Memorandum on Countering Domestic Terrorism and Organized Political Violence, accompanied by a Fact Sheet.  Citing recent acts of political violence, the Memorandum orders the creation of a “national strategy to investigate and disrupt networks, entities, and organizations that foment political violence so that law enforcement can intervene in criminal conspiracies before they result in violent political acts.”  The Memorandum and Fact Sheet also make clear that foundations, individual funders, and other nonprofit organizations are a particular focus and this action is likely to prompt a series of actions, including reviews of tax-exempt status of organizations and, potentially, criminal investigations.

The Memorandum is directed to the Secretaries of State, Treasury, and Homeland Security, and to the Attorney General, and orders various Executive Branch components to take certain actions in the name of countering political violence and intimidation.  Specifically, it directs:

• The Federal Bureau of Investigation’s National Joint Terrorism Task Force and its local offices (collectively, the JTTFs) to coordinate and supervise a national strategy to investigate and prosecute those engaged in political violence and intimidation, including “institutional and individual funders, and officers and employees of organizations, that are responsible for, sponsor, or otherwise aid and abet the principal actors engaging in the criminal conduct described” in the Memorandum. 
• The JTTFs are organizations created post-9/11 that bring together federal, state, and local law enforcement and intelligence analysts to counter terrorism.  They are not themselves independent sources of prosecutorial or investigative authority separate from the organizations they draw from, such as the Department of Justice (DOJ).
• The Attorney General to:
• Direct the DOJ to set domestic terrorism priorities and to prosecute all federal crimes, to the maximum extent permissible by law, related to political violence, intimidation, terrorism, “recruiting or radicalizing persons” for those purposes, and violations of the Foreign Agents Registration Act or money laundering laws for “funding, creating, or supporting entities that engage in activities that support or encourage domestic terrorism.”
• Submit to the President a list of groups or entities whose members are engaged in activities meeting the definition of “domestic terrorism” under 18 U.S.C. § 2331(5).
• The Treasury Secretary to identify and disrupt financial networks that fund domestic terrorism and political violence, including through examination of “financial flows,” as well as through issuance of guidance to financial institutions to identify relevant “illicit funding streams.”
• The IRS Commissioner to ensure no tax-exempt entities are “directly or indirectly” financing political violence or domestic terrorism, and where applicable, to refer such organizations to DOJ.
• All federal law enforcement to:
• “[Q]uestion and interrogate, within all lawful authorities,” those engaged in political violence or lawlessness “and any related financial sponsorship” prior to adjudication or entering into a plea deal, with an emphasis on certain crimes such as assaulting federal officers or employees or otherwise engaging in conduct proscribed by 18 U.S.C. § 111; conspiracy against rights under 18 U.S.C. § 241; conspiracy to commit an offense or fraud against the United States under 18 U.S.C. § 371; solicitation to commit a crime of violence under 18 U.S.C. § 373; money laundering under 18 U.S.C. § 1956; funding of terrorist acts or otherwise facilitating terrorism under 18 U.S.C. §§ 2339, 2339A, 2339B, 2339C, and 2339D; arson or offenses under 18 U.S.C. § 844; violations of the Racketeer Influenced and Corrupt Organizations Act under 18 U.S.C. § 1961 et seq.; and major fraud against the United States under 18 U.S.C. § 1031.
• Apply strategies to this issue taken from efforts to disrupt and dismantle networks associated with violent crime and organized crime.

Especially when understood in the context of other recent Executive Branch actions, including “designating Antifa as a domestic terrorism organization,” the Memorandum may spur a range of enforcement and other actions from the Administration in short order, potentially including new IRS investigations of section 501(c)(3) organizations and reconsideration of their tax-exempt status, potential terrorism designations for organizations viewed as promoting  progressive causes, and attempts to block assets of nonprofit organizations.  Notably, the Memorandum specifically states that “employees and officers” of such organizations are possible subjects of Justice Department and other investigations.

WilmerHale continues to advise foundations and other nonprofits as the Executive Branch’s actions in this area continue.  We are closely monitoring Administration and congressional actions and are available to support organizations in this developing landscape, including with a dedicated team ready to advise on tax compliance, criminal investigations, terrorism designations, asset blocking, and congressional preparation.