Claim:
The Clinton Foundation lost its status as a tax-exempt charity after a U.S. Department of Defense audit found more than $100 million in military contracts awarded to franchisees of the foundation.
Rating:
In late 2025, a rumor spread online that the Clinton Foundation — founded by former President Bill Clinton — lost its status as a tax-exempt charity after a U.S. Department of Defense audit found more than $100 million in military contracts awarded to franchisees of the foundation.
A post shared by Facebook page America’s Last Line of Defense spreading the claim had more than 15,000 reactions as of this writing. Snopes readers also wrote in asking for verification of the rumor.
America’s Last Line of Defense is a satirical Facebook page. “Nothing on this page is real,” the page’s “Intro” section read. Furthermore, there was no evidence that the Clinton Foundation lost its tax-exempt status due to a Pentagon audit. As such, we have rated this claim as labeled as satire.
America’s Last Line of Defense and its associated Facebook pages and websites have a history of making up stories for shares and comments, as evidenced by Snopes’ archives and by their own admission.
A search for the Clinton Foundation — full name “Bill Hillary and Chelsea Clinton Foundation” — using the IRS tax-exempt charity search tool confirmed the organization remained eligible to receive tax-deductible charitable contributions as of this writing. None of the Pentagon’s audits from November 2025 has anything to do with the Clinton Foundation, based on the Department of Defense Office of the Inspector General’s audits and evaluations page.
Snopes has previously debunked various satirical rumors by America’s Last Line of Defense targeting the Clintons, including a satirical post claiming that a judge ordered Chelsea Clinton, daughter Bill Clinton and former Secretary of State Hillary Clinton, to pay back $3.7 million in checks she cashed for the Clinton Foundation.
We have also looked into rumors about the Pentagon’s audits, including a claim that the agency has never fully passed an audit.
For background, here is why we alert readers to rumors created by sources that call their output humorous or satirical.
