Turbo Tax Software
Three key areas to get it right Whether it’s TurboTax, TaxAct, or H&R Block, tax preparation software is generally affordable when compared to hiring a qualified tax professional. These programs are also designed to be efficient, often allowing users to complete and file a return in just a few hours. However, ministers should be aware…
Are Gift Certificates to Church Staff Taxable?
Are Gift Certificates to Church Staff Taxable? When churches want to express appreciation to their pastors or staff—especially around holidays or ministry milestones—gift certificates often seem like a simple, generous solution. However, under U.S. tax law, gift certificates given by a church to its employees are almost always taxable, regardless of intent. Understanding why requires…
How to Select the Right Clergy Tax Preparer
How to Select the Right Clergy Tax Preparer Clergy face some of the most complex tax situations of any profession. Dual tax status, housing allowances, self‑employment rules, parsonage issues, and ministry‑related reimbursements all require specialized knowledge—knowledge that many general tax preparers simply don’t have. Choosing the right professional isn’t just about filing on time; it’s…
When Are W‑2 and 1099 Forms Required to Be Filed.
When Are W‑2 and 1099 Forms Required to Be Filed Churches function as employers, contractors, and ministry organizations—but despite their nonprofit status, they are not exempt from federal payroll reporting laws. The IRS requires churches to properly classify workers and file W‑2 and 1099‑NEC forms each year, just like any other employer. Failing to follow…
IRS issues guidance for Trump accounts
Trump accounts are a new type of education savings vehicle created under the One Big Beautiful Bill Act (OBBBA). These accounts are intended to help families save for qualified education expenses and are subject to specific statutory and regulatory rules. The IRS has issued preliminary guidance on Trump accounts in Notice 2025‑68, which outlines initial…
Fourth Quarter Estimated Tax Payment
The final estimated tax payment for the 2025 tax year is due on January 15, 2026. This deadline applies to clergy and represents the fourth and final quarterly estimated payment for the year. Why Estimated Taxes Exist The U.S. tax system is a pay‑as‑you‑go system. The IRS expects taxes to be paid as income is earned,…
Tax Season Scams: How to Avoid Identity Theft and Tax Scams
As we begin a new year, tax season is quickly approaching—and unfortunately, it’s also a peak time for criminal activity. During tax season, scammers and identity thieves increase their efforts to trick individuals into sharing sensitive personal and financial information, such as Social Security numbers, dates of birth, and tax records. With this information, criminals…
