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Church and tax exemption


Duncan

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Posted

I'll confess that I don't know what it means that Churches, specifically ours are tax exempt. I know income tax and property taxes is it that? What does it mean?

Posted

I stand ready to be corrected but it is my understanding that the religious entity ie. the corporation of the president is income tax exempt on donations etc. and that the properties used for religious purposes such as chapels and temples are property tax exempt in the US and other countries although I don't know if that is true worldwide. Any for profit businesses owned by the Church are subject to the normal taxation laws. I wonder if there are tax rebates on fuel and excise taxes etc. or sales taxes etc.

Posted
9 hours ago, strappinglad said:

I stand ready to be corrected but it is my understanding that the religious entity ie. the corporation of the president is income tax exempt on donations etc. and that the properties used for religious purposes such as chapels and temples are property tax exempt in the US and other countries although I don't know if that is true worldwide. Any for profit businesses owned by the Church are subject to the normal taxation laws. I wonder if there are tax rebates on fuel and excise taxes etc. or sales taxes etc.

Essentially correct for the US.

Posted
10 hours ago, strappinglad said:

 I wonder if there are tax rebates on fuel and excise taxes etc. or sales taxes etc.

The church does not pay sales tax.  Fuel taxes yes.

Posted

If you live in the UK, the temple is not property tax exempt because the public is not allowed into it.   But other church buildings are.

Members do not pay sales tax on religious underwear, but most Americans do pay sales tax on their underwear.   We pay tax on our cowboy hats, but yarmulkes are not taxed (maybe if sold by a religious org?)   Again the religious element.

The key is that if government has the right to tax religion, it also has the power to eradicate them.

The LDS church does pay a lot of tax (though I'm sure it tries to legally minimize it just like other taxpayers do) because it engages in wide spread commercial and business interests which have no tax exemption at all.

If you buy supplies for your church activities those are tax exempt (if you provide the exemption form). 

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