What are the tax laws for ordained ministers?

Answer by  Att4372 (1704)

Ministers who are employees have the same tax laws as everyone else. Ministers who are independent fill out schedule C (revenue / expenses) and report FICA on amounts above $100.

Answer by  tamarawilhite (17883)

Ordained ministers who work in a non-profit religious organization do have to pay income taxes. They can opt out of social security and unemployment taxes; however, they must file the exemption from those taxes and then cannot collect those benefits later. That means they must self insure when opting out.

Answer by  MarkWatrous (729)

If you have an employer, the income you receive from the offering is taxable with a W-2. Any fees you earn from anything other than a sermon must be reported on Schedule C or C-EZ. Please refer to IRS Publication 15-A, and IRS Publication 517 for more information.