CLERGY MAY SOON FIND TAXES SOARING AS RESULT OF AN UNDER-THE-RADAR RULING
Yeah, that’s under-the-radar if you are The Rev. Rip V. Winkle who slept for the last decade or so and just woke up.
The article is about the clergy housing allowance. Other than the screaming, vein popping headline it is one of the best summary articles I’ve read on the clergy housing allowance and recent ruling. My CPA friend Peter Reilly on Forbes is better but then the HA is never under his radar. He has had many timely articles on it. His latest,Tax free housing benefits for clergy will be safe for the present, should calm the troubled clergy soul, for now.
For 2018 clergy who get a tidy housing allowance check monthly should keep doing what they are doing. It is highly unlikely that anything will change next year. Max our Sacred Clergy Tax Break out for 2018. Be sure in doing so that you:
- Have the church officially approve an amount. Do it now. It has to be approved before the benefits paid. Most of us do it in the annual budget.
- Keep records. You need to show where you spent the HA on mortgage, taxes, utilities, insurance, improvements or the like.
- Don’t be ridiculous with the amount. It cannot be greater than the fair rental value of your house, furnished.
If you live in the church pastorium the court ruling doesn’t apply and will not apply to your situation.
Went to see Churchill, “The Darkest Hour,” yesterday. Outstanding. Reminded me that what we need in the church is less cuteness, cleverness, and pablum from the pulpit and more solid, unctuous, biblical preaching. Hey, Churchill and no less than Spurgeon had the cigar thing working for them. Maybe you should try that.