FORM TO REPORT PASTOR INCOME

by Krista Nesbit
(Baton Rouge, Louisiana)

WHAT FORM WOULD YOU USE TO SHOW A TAX EXEMPT FOR A PASTOR'S INCOME

Comments for FORM TO REPORT PASTOR INCOME

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Pastor's Income is Taxable
by: Vickey

Not sure what you mean. A Pastor’s income is not tax exempt. A church does not hold out income tax or FICA on them, but that doesn’t mean they are exempt. It just means they have to pay their Social Security and Medicare taxes through the SECA system as the IRS considers them to have a “dual status” (Considered an employee for federal income tax purposes and self-employed for Social Security and Medicare purposes.)

They pay income tax by estimated tax payments or by asking the church hold out income taxes for them.

Now a pastor can opt out of paying Social Security and Medicare taxes by filing (within a certain time period) and getting approval on a Form 4361 ... but there is no way that I know of to “opt out” of paying income tax :-)

If you are just asking how to report the Pastor’s income, Anonymous in NC has provided you with the correct reporting forms.
Form?
by: Anonymous in NC

Report the pastor's income that is not exempt on Form W-2. Pastors who are hired on a contractual basis should have their income reported on a 1099 form.

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