Undisclosed and unlimited: ‘dark money’ in American politics | Campaign money

The Washington Post’s Michelle Ye Hee Lee explains how some donors can pay large sums of money to influence political campaigns without revealing their identities. We generally avoid using the term “dark money,” but here we detail its origins and nuances. Hundreds of millions of dollars in “dark money” were spent on both sides of the opposition for the 2020 elections, and these funds are almost impossible to track. But is this practice legal? Yes, thanks to a Supreme Court decision and the tax code. In 2010, the Citizens United v. FEC ruling allowed unions and corporations to pump money into the American political system. By registering under the 501(c)(4) tax code, groups were able to hide the origin of their money. Candidates are not allowed to coordinate directly with these groups, but they often benefit from their efforts. Another option for keeping donations discreet: registering as a “Limited Liability Company” or LLC. These entities may have cryptic names that hide their identity. In 2012, a network of 17 nonprofits and LLCs raised more than $400 million to attack then-President Barack Obama and congressional Democrats, all from secret sources . And there’s also a lot of undisclosed money on the left. In 2020, dark money groups are already active at all electoral levels. Learn more: https://wapo.st/2QOdcqK Do you have more questions about 2020 campaign money? Tweet Michelle Ye Hee Lee @myhlee and we can answer it in our next video. Follow us: Twitter: https://twitter.com/washingtonpost Instagram: https://www.instagram.com/washingtonpost/ Facebook: https://www.facebook.com/washingtonpost/

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