Would it be acceptable to pick and choose the parts in the Bible worth living by and then creating my own church to avoid paying taxes?
- okiknowitLv 71 month agoFavorite Answer
I was an IRS Auditor and audited many "churches" which consisted of a person's basement in which he held bible (or other religious) studies. There is a series of questions IRS asks to define whether the person is a "minister" who can deduct a portion of his home as a parsonage, and a "religion" which is pretty broad and can include Buddhist alters, atheist "churches." Witch covens, or just about anything else.
Usually I found that the person was not a "minister." and his house was not a "church." The issue is that the space must be "regularly and exclusively used as a place of worship" so when I saw the washer dryer, big screen TV, boxes, and sometimes a bar in the basement, I would disallow it. Sometimes I allowed them the cost of any refreshments they may have purchased (with receipts) as a non-cash contribution.
Also, you must remember that only the member "contributions" made to the church are tax exempt. Churches must still report it on the proper forms each year and pay tax on any unrelated business income. Ministers must turn in any contributions and receive a W-2 from the church, which states any parsonage allowance they may deduct.
Often I would tax "tips" a minister might have collected (for weddings & funerals etc.) that were not turned over to his church (I checked their bank records for unexplained deposits). One validly ordained minister from a popular sect I came across, intentionally failed to report $60k in "contributions" he pocketed and was sentenced to 6 months in a federal prison as well as having to pay tax, interest and penalty on the off-book "contributions".
So I would advise you to do it right and hire a good tax attorney to advise you.
- River EuphratesLv 71 month ago
Kent Hovind - is that you?
- CrustyCurmudgeonLv 71 month ago
Give it a go. In Greece, properties with a church are property-tax exempt. Virtually all valuable residences have a separate chappel on the premises.
- UserLv 71 month ago
In the U.S.
an incorporated, non-profit religious organization is tax exempt
any employee of that organization is NOT tax exempt
(with the exception of a couple of special tax breaks for officers of the church under very specific circumstances, such as: the church owning and providing a residence for the pastor, the use of such a company-owned residence in some circumstances does not count as income for the pastor).
that you create a church
that has enough people
with enough money
to pay yourself a six-figure salary.
You pay taxes on that six-figure salary.
The church corporation does NOT pay taxes.
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- 1 month ago
Ok but the tax collector always comes a knocking because we live in the world that is taxed and censers readers
- Pirate AM™Lv 71 month ago
It's been done thousands of times and a few have been successful, so sure, why not. Frankly, I'm an ordained minister in a couple of different denominations and technically I could claim tax exemptions because of it, as well as priority parking at hospitals and funerals....
Realistically, the real problem is not being tax exempt, but making enough money to be in the middle class range and submitting all the appropriate documentation to the IRS
- MalcolmLv 71 month ago
Well, it's like this. If you want a bank account, you must have trustees on the account. Then the IRS will need to hear from the trustees, about tax exemption, the location address, the building that you meet in, etc. If you purchase a building on borrowed money, the trustees must enter into the agreement.
- 1 month ago
You just defined what all churches do.
- Anonymous1 month ago
That's what Jews do.....🤔
Now I AM wondering how many holy ones don't pay taxes since many don't serve our great country in other ways.....
Getting a good job and playing nice and or smart is not enough......POSERS.👁️
- Anonymous1 month ago
I didn't know you could do that i might borrow your idea someday