Home > Tax


Expanded 1099 Reporting Requirements Repealed
New law nixes 'crushing administrative burden'

In the April edition of Church Finance Today, Richard Hammar previewed the possible repeal of the expanded 1099 reporting requirement included with the Patient Protection and Affordable Act (last year's health care reform legislation).

The requirement would have required all ...

A Tax Credit for Churches?
Potentially thousands of dollars available from health care provision.

Editor's Note (September 29, 2011):A church business administrator in Colorado shared the following update regarding his church's application for this credit: "We submitted form 990-T claiming the credit (approximately $7,100) in late April. We received a request ...

Should Congress Change Pastors' Housing Allowances?
Several voices weigh in on an important tax benefit for clergy.

The newest issue of Christianity Today poses an interesting question: Should Congress change pastors' housing allowances?

Expect to hear a lot more on the topic in the weeks and months ahead. Since the conclusion of Sen. Charles Grassley's (R-Iowa) financial investigation of ...

Handling Leases for Car Allowances
Accounting for this type of option for vehicles.

Question: Our church provides an auto allowance budget line item for vehicle expenses for our pastor. The pastor leases a vehicle that he uses for church-related business. He has asked to use the budget line for reimbursement of the expenses associated with the leased vehicle's ...

Holiday Pushes Back Due Date for Taxes
Federal tax-filers get a few extra days.

Haven't started your federal taxes yet?

As February fast draws to a close, you may be encouraged to know that you get an extra three days to work on 2010 filings. From this morning's Richard Hammar's Essential Reminders:

"Taxpayers will have until Monday, April 18 to file their ...
Help for Pastors During Tax Season
Upcoming resources to help wade through tax laws that affect clergy.

The "The Tax Relief, Unemployment Insurance Reauthorization and Job Creation Act of 2010," passed by Congress and signed by President Obama in mid-December, triggered a domino-like effect of changes for tax-filers–so much so that even the Internal Revenue Service delayed its ...

Ten Steps to Tax Reporting
A new, free PDF offers helpful payroll tax reminders for churches.

Looking for a helpful–and easy–way to remember federal payroll tax reporting requirements as a church? Check out this handy, printer-friendly PDF we've prepared titled "Ten Steps to Tax Reporting."

Here's a sneak peek:

10) Complete Forms 1099-MISC and 1096. Must be issued to any ...

National Commission to Examine Church Financial Practices
ECFA will lead independent inquiry at Sen. Grassley’s request

Editor's Update (12/8/11): The Commission on Accountability and Policy for Religious Organizations is now taking public comments on the various issues it is studying.


Editor's Update (4/27/2011): The ECFA has announced the initial members of ...

Endorsing Political Candidates from the Pulpit
A new LifeWay survey shows pastors strongly oppose endorsements.

A majority of pastors believe churches should not publicly endorse political candidates, a new LifeWay Research survey shows.

Phone interviews conducted randomly in early October with 1,000 church pastors, ministers, and priests revealed 70 percent strongly disagreed and 14 ...

Medical Allowances and Health Savings Accounts
Can churches legally designate medical allowances for pastor health plans?

Question: We are entertaining the idea of changing our health care coverage to a HSA (Health Saving Account)-compatible policy. Presently our three pastors receive a designated amount of medical allowances each year to help them cover the costs of out-of-pocket moneies that ...

Case Threatens Pastor Housing Allowances
How a California court may alter a long-standing ministry benefit.

Earlier this month, we covered eight federal issues that local churches should watch closely during the remainder of 2010 and into 2011, according to recent remarks from Dan Busby, president of the Evangelical Council for Financial Accountability. Busby, one of our editorial ...



Experience a whole new way to set compensation. Eliminate the guesswork – get access to detailed compensation reports in just minutes.

Safe Hiring Practices for Ministries

Safe Hiring Practices for Ministries  Member access only

Essential items to consider before you bring new clergy or staff on board.
Essential Guide to Youth Ministry Safety

Essential Guide to Youth Ministry Safety Member access only

Help youth ministers safely and appropriately conduct student ministry with this resource.