by d
(enumclaw)
DO I PUT HOUSING ALLOWANCE ON THE W2?
Answer
Your church is not required to report the minister's housing allowance to the IRS. However some churches choose to report it in Box 14 of the minister's W-2 (which is labeled “Other”) as a courtesy to the minister.
Or, you can just include the amount of the HA in a separate letter to the minister. (This separate letter should not be sent to the IRS and will not be included or attached to the minister's personal tax return.)
Hope this helps,
Church Accounting Package
www.freechurchaccounting.com