A bill introduced in Congress last week aims to exempt U.S. citizens serving as pope from federal tax obligations and safeguard their citizenship during their tenure as supreme pontiff, addressing concerns raised by the historic election of Pope Leo XIV, the first American pope.
Newsroom (24/07/2025, Gaudium Press ) The Holy Sovereignty Protection Act (H.R. 4501), introduced on July 18 by Rep. Jeff Hurd (R-CO), responds to potential legal complications surrounding Pope Leo XIV’s U.S. citizenship. Hurd, a first-term congressman from Colorado’s 3rd district, described the legislation as recognizing “the extraordinary nature of the papacy—a role at the intersection of faith, leadership, and global responsibility.”
“The election of Pope Leo XIV marks a historic moment not only for the Catholic Church but for America,” Hurd said in a July 18 statement. “This legislation ensures that any American who answers the call to lead more than a billion Catholics worldwide can do so without risking his citizenship or facing unnecessary tax burdens.”
The bill, co-sponsored by six other Republicans—Reps. Mike Kelly (PA), Stephanie Bice (OK), Glenn Grothman (WI), Michael Lawler (NY), Brian Jack (GA), and Charles Fleischmann (TN)—would exempt an American pope from filing U.S. tax returns or paying federal taxes during their pontificate. Four of the co-sponsors—Kelly, Bice, Lawler, and Fleischmann—are Catholic.
Vatican Concerns Prompt Legislation
The legislation follows the May election of Cardinal Robert Prevost as Pope Leo XIV, the first U.S. citizen to lead the Catholic Church. A Chicago native, Prevost holds dual citizenship in the United States and Peru, where he served as a missionary priest and bishop for nearly two decades. He obtained Peruvian citizenship in 2015.
Vatican officials have expressed concerns about the implications of Prevost’s U.S. citizenship, particularly regarding tax obligations and potential civil liability. According to The Pillar, senior officials in the Vatican’s Secretariat of State worry that U.S. tax law, which requires citizens to file annual returns and report worldwide income, could extend to Vatican funds under the pope’s control, such as Peter’s Pence or discretionary accounts for papal expenses and charitable priorities.
While the papacy includes a modest stipend, it remains unclear whether this constitutes taxable income. The three previous popes declined the stipend, and it is unknown whether Pope Leo XIV will accept it. Hurd’s bill would eliminate the need for such financial disclosures to the Internal Revenue Service (IRS), rendering potential litigation over Vatican finances moot.
Additionally, the bill ensures that an American pope’s citizenship cannot be revoked during their tenure. The U.S. State Department notes that serving as a foreign head of state does not automatically result in loss of citizenship but may trigger a review due to “complex questions of international law,” including immunity from U.S. jurisdiction. When asked in May about Pope Leo’s citizenship status, a State Department spokesperson declined to comment, citing policy not to discuss individual cases.
Liability Concerns in U.S. Courts
Beyond taxation, Vatican officials are concerned about potential civil liability tied to Pope Leo’s U.S. citizenship. For decades, plaintiffs in U.S. courts have attempted to name the Holy See in lawsuits, particularly over clerical abuse cases, citing its responsibility for handling such matters. The Holy See’s status as a sovereign entity has historically provided legal immunity in American courts. However, naming “Robert Prevost,” an American citizen, as a respondent in civil suits could complicate this immunity.
U.S. long-arm statutes in some states allow non-residents to be named in lawsuits, raising questions about whether Prevost’s citizenship could expose him to personal liability. While legal experts consider it unlikely that such cases would succeed, any attempt would likely lead to protracted litigation. A spokesman for Rep. Hurd clarified that the bill does not address protections against civil lawsuits.
Broader Implications
The Holy Sovereignty Protection Act highlights the unique challenges posed by an American pope, a scenario unprecedented in the Catholic Church’s history. By addressing tax and citizenship concerns, the legislation aims to ensure that an American pontiff can focus on leading the global Church without navigating complex U.S. legal obligations.
As the bill moves through Congress, it is likely to spark debate over the intersection of national law and international religious leadership. For now, it underscores the historic significance of Pope Leo XIV’s election and the novel questions it raises for both the Vatican and the United States.
- Raju Hasmukh with files from The Pillar
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