Taxes

You may read of a proposed change in IRS tax group exemptions for United Methodist congregations and organizations. This change, if adopted, would ONLY APPLY TO NEW CONGREGATIONS AND NEW CHURCH ORGANIZATIONS.

Existing United Methodist congregations and church organizations are considered tax exempt under a 1974 group ruling by the IRS for United Methodist congregations and organizations and will continue under this ruling.  All existing organizations do not have to apply for their own IRS tax exemption. But in the future, if the proposed change is adopted, new congregations and church organizations will need to apply for their own tax exemption. The proposed change is being objected to by many religious groups and their attorneys.  GCFA is on top of the situation for us..

This is being shared with you to minimize confusion in what you may read in the newspaper or other publication. Your congregation is tax exempt and does not need to do anything to file for an exemption. We will update you if there are other changes.

The GCFA Tax Packet contains numerous documents addressing a variety of tax matters pertaining to United Methodist clergy and local churches. From time to time, new documents are added and existing documents are revised or updated.

If you have any comments or suggestions regarding the tax packet itself, please contact the GCFA Legal Department at legal@gcfa.org.

Note: This Tax Packet contains general information on tax issues of interest to United Methodist clergy, local churches, annual conferences, and others. While we have made every effort to ensure the information in this Tax Packet is current and accurate, it is not intended to serve as legal advise. Readers should seek assistance from a tax professional for questions regarding their specific circumstances.