Category Archives: Ministerial Housing Allowance

Court Finds Housing Allowance Constitutional

In a surprising unanimous decision on March 15, 2019, the Seventh Circuit Court of Appeals held that the ministerial housing allowance did not violate the U.S. Constitution.  While Court observers were divided on their predictions about what the court’s final … Continue reading

Posted in 03 - March 2019, 2019, Ministerial Housing Allowance | Leave a comment

Unconstitutional Housing Allowance Decision Appealed

On October 6, 2017, a federal district court judge in Wisconsin ruled that the ministerial housing allowance violates the Constitution. Judge Barbara Crabb held that Section 107(2) of the Tax Code, the provision that specifically addresses the “cash” ministerial housing … Continue reading

Posted in 02 - February 02, 2018, Ministerial Housing Allowance | Leave a comment

Housing Allowance Held Unconstitutional

On October 6, 2017, a federal district court judge in Wisconsin ruled that the ministerial housing allowance violates the Constitution. Judge Barbara Crabb held that Section 107(2) of the Tax Code, the provision that specifically addresses the “cash” ministerial housing … Continue reading

Posted in 12 - December 2017, Ministerial Housing Allowance, Ministers | Leave a comment

Housing Allowance Held Unconstitutional

As expected, a federal district court judge in Wisconsin has ruled that the ministerial housing allowance violates the Constitution. In a ruling dated October 6, 2017, Judge Barbara Crabb held that Section 107(2) of the Tax Code, the provision that … Continue reading

Posted in 10 - October 2017, 2017, Ministerial Housing Allowance | Leave a comment

Update on Constitutional Challenge to Housing Allowance

In an expected but unfortunate development, the Freedom From Religion Foundation filed a new lawsuit on April 6, 2016, challenging the constitutionality of the ministerial housing allowance under section 107 of the Internal Revenue Code. This lawsuit follows a similar … Continue reading

Posted in 12 - December 2016, Ministerial Housing Allowance | Leave a comment

New Challenge to Constitutionality of Housing Allowance

In an expected but unfortunate development, the Freedom From Religion Foundation filed a new lawsuit on April 6, 2016, challenging the constitutionality of the ministerial housing allowance under section 107 of the Internal Revenue Code. This lawsuit follows a similar … Continue reading

Posted in 04 - April 2016, 2016, Ministerial Housing Allowance | Leave a comment

Housing Allowance

Where a church has no parsonage, generally the church seeks to provide for the housing needs of the pastor by giving him a “ministerial housing allowance” so that he may secure his own home, either by renting or owning. Again, … Continue reading

Posted in 07 - July 2015, Informational Manuals, Ministerial Housing Allowance, Ministers, Tax Information | Leave a comment

Multiple Homes and the Ministerial Housing Allowance

It is not unusual for a minister to own two homes. He may be living in one home and buying another for retirement purposes or he may have lived in one home for a particular pastorate and bought another home … Continue reading

Posted in 03 - March 2015, Informational Manuals, Internal Revenue Service, Ministerial Housing Allowance, Ministers, Tax Information | Leave a comment

Parsonage / Housing Allowances – IRS’s Perspective

The following article is directly reprinted from the Internal Revenue Service’s Tax Guide for Churches and Religious Organizations (Publication 1828). You may access the entire publication by clicking here: “Generally, a minister’s gross income does not include the fair rental … Continue reading

Posted in 03 - March 2015, Informational Manuals, Internal Revenue Service, Ministerial Housing Allowance, Ministers, Tax Information | Leave a comment

Creating a Valid Ministerial Housing Allowance

The following simple steps should be taken to assure that the ministers’ housing allowance is created properly: The minister should determine his yearly housing costs by using the Estimate of Housing Allowance form (may be obtained at http://www.benefitsboard.com). The Estimate … Continue reading

Posted in 03 - March 2015, Informational Manuals, Ministerial Housing Allowance, Ministers, Social Security, Tax Information | Leave a comment