• robot advisor
• Oct 12,2009
• In: Expert Advisor

Tax question – ordained minister employed as spiritual advisor, has medicare/ss exemption?

Hi everybody, taxation subject for a experts here…

I’m an consecrated apportion of a non-sectarian group. As partial of my eremite pursuit we am destined to find beneficial practice in my village for:
1) upon condition which devout guidance, counciling, as good as await for a community
2) assisting others in a village as event allows
3) upon condition which sacrements as good as behaving ceremonies as church law as good as state law allow
4) being an honourable as good as important personality for a church community
5) earning salary by such employment, to yield for a needs of my family as good as myself

As such, we am an partner priest in a tiny farming church, as good as we only became in use as ‘religious advisor’ during a internal nursing home.

As partial of a eremite didactic discourse members of a church physique have been destined to yield for any alternative in times of need as good as sickness, as good as await their elders in aged age. Therefore, we filed an IRS form series 4361, rejecting any benefits from a amicable confidence or medicare programs. This was ostensible by IRS as good as I’ve had no problems with taxes as a partner pastor.

The complaint I’m carrying is with a taxes upon a brand new pursuit during a nursing home. we have no complaint profitable my sovereign as good as state practice taxes, though we hold a fica taxation isn’t ostensible to be funded from wages. Our eremite drift opposite amicable confidence is upon a basement of recieving benefits, if we have to compensate in to this complement afterwards I’ll do so, though as a unsentimental make a difference those dollars would offer my family improved in a early retirement account.

IRS form 4029 allows grant from amicable confidence as good as medicare TAXES as good as a waiver of benefits. (I already waived benefits as a apportion upon form 4361 as good as am thus giveaway from self-employment taxes).

The form 4029 does not concede me to record it since a church was founded after 1950. However a form additionally says ‘if we already have capitulation for grant from self-employment taxes, we have been deliberate to have met a mandate for grant from amicable confidence as good as medicare taxes upon salary as good as do not need to record this form’.

This equates to a nursing home shouldn’t be withholding, correct?

Part of a complaint is which a nursing home doesn’t have a 4029 upon file, in fact, they’re not a ‘not-for-profit’ during all.

My employers accountant believes which they contingency have a 4029 also, else they have to withhold. She sent me to IRS announcement 517, which is all confusing.

Is there a CPA out there who can straighten this up, or discuss it me where to demeanour in a taxation codes for some-more information? What forms does my employer need to scrupulously figure a taxation? Do we need to compensate my half of a amicable security/medicare tax? Do they need to compensate a alternative half? Do they need to compensate a alternative half, even if they do not secrete from me? Do they have to compensate both halves if they do not secrete from me?

Since a not a not-for-profit, how can we be certain they’re not receiving a supports out of my check, though branch around to a IRS as good as claiming a exemption, as good as pocketing a money?
I theory to mystify counts a church physique adheres to a beliefs of a initial amendment, seperation of church as good as government. We have been not incorporated underneath a state, do not enroll to intentional categorization as a 503 entity with a IRS, as good as work soley as good as sovereignly as a giveaway church.
Thanks for a refurbish A M Frantz!
I review which divide too, however partial of a eremite gauge is to consequence salary by village employment, to yield for a family, any practice is excusable so prolonged as it does not dispute with alternative eremite tenants as good as provides such support. Therefore it is lonesome as valid, qualified, as good as church mandated.