IRS Delays Start of Filing Season For Some Taxpayers
Clergy who claim deductions for home-mortgage interest, gifts to charity and state and local taxes will have to wait until middle to late February to file their 2010 returns. The Internal Revenue Service attributed the late start of the filing season to changes in tax law for 2010 that were finished last week. The agency…
How the Obama tax bill will affect church employees
On December 17, 2010, President Obama signed into law H.R. 4853, the Tax Relief Unemployment Insurance Reauthorization and Job Creation Act Of 2010, which will affect every U.S. employer and several areas of payroll, tax and benefits administration in January. Back in 2008, after the passage of the 2008 stimulus package, many taxpayers received $300…
Clergy who claim deductions for home
IRS Updates Mileage Rates for 2011
2011 Standard Mileage Rates The Internal Revenue Service issued the 2011 standard mileage rates used to calculate the deductible costs of operating an automobile for ministry, business, charitable, medical or moving purposes. Beginning on Jan. 1, 2011, the standard mileage rates for the use of a car (also vans, or pickups ) are listed below….
Payroll for Churches and Religious Organizations
The end of the year is the perfect time to switch payroll companies. Clergy Financial Resources offers an easy online payroll management service that specifically meets the requirements of religious organizations. We have an unparalleled tax expertise on the complex issues associated with church payroll and clergy compensation. Sixty percent of churches do not follow…
Church Paying for Cell Phone and Automobile
Reader Question: We (the church) pays for a cell phone and vehicle for our pastor. The church pays the insurance and owns the car but he is the only one that drives it. Do either of these “benefits” need to be taxable? P.A. Yes, both of these benefits are taxable. However, they are only partially…
Am I allowed to deduct a fundraiser as a charitable contribution?
The topic of today’s post comes from a reader. Remember, if there’s a tax topic you’d like to see covered in an upcoming edition of the Clergy Tax Law Blog. E-mail your topic to our office and it may be included in an upcoming edition. Dear Clergy Financial, Just a question on deducting charitable donations. …
Unrelated Business Income Tax (UBIT)
Churches and religious organizations may engage in income-producing activities unrelated to their tax-exempt purposes, as long as the unrelated activities are not a substantial part of the organization’s activities . However, the net income from these unrelated business activities will be subject to the “Unrelated Business Income Tax” if the following three conditions are met:…
Clarifying the IRS Rules About Endorsing Candidates From The Pulpit
Recently in the news, there have been stories about clergy endorsing political candidates from the pulpit: Pastors Preach Politics from Pulpit– News42.com Hastings Pastor Defends Endrosement – WCCO.com Pastors, Not the Gov’t, Should Decide When They Can Speak About Candidates From the Pulpit – Christian Post Minnesota Pastors Plan to Endorse Candidates From the Pulpit…
Top 10 Question of a New Call
The proposed salary package will normally represent the previous pastor’s salary package or the guidelines set by your organization. 1- Does the church provide a social security allowance? 15.3% or 7.65% of salary and housing. 2- Does the church provide for the supplemental medical insurance? 3-Does the church provide a 100% professional accountable reimbursement plan?…
