Maximizing the Church's religious tax exemption: Doing your part

[mfbukowski]

2 hours ago, Rain said:

I was going to ask you about that.  I am keeping a spreadsheet of my mileage for my volunteer stuff.  How do you keep track of it?  Notebook or app maybe?  I tried using an app of some kind, but that particular one was a struggle to use.

You definitely need at least a log of some kind.  Use different pens and pencils so it doesn't look like you did it April 14th at 2 am. 

 

[Calm]

2 hours ago, InCognitus said:

that was always the part that I dreaded about doing my taxes each year, because I transferred everything in my hand written mileage booklet to an Excel spreadsheet.  But the convenience of keeping the daily record always outweighed the pain of tallying the information once a year

Maybe tally it at the end of the month to spread the pain out, make it less likely there are mistakes due to fatigue and so you have most of your records if somehow you lose the log.

[LoudmouthMormon]

Just out of curiosity, does anyone actually itemize deductions on federal taxes any more?

https://www.irs.gov/newsroom/irs-provides-tax-inflation-adjustments-for-tax-year-2023

Quote

The standard deduction for married couples filing jointly for tax year 2023 rises to $27,700 up $1,800 from the prior year. For single taxpayers and married individuals filing separately, the standard deduction rises to $13,850 for 2023, up $900, and for heads of households, the standard deduction will be $20,800 for tax year 2023, up $1,400 from the amount for tax year 2022.

I'm guessing not many married posters out there pays almost thirty grand in tithing, mortgage interest, student loans, unreimbursed medical expenses, and 401k contributions.

[Rain]

47 minutes ago, LoudmouthMormon said:

Just out of curiosity, does anyone actually itemize deductions on federal taxes any more?

https://www.irs.gov/newsroom/irs-provides-tax-inflation-adjustments-for-tax-year-2023

I'm guessing not many married posters out there pays almost thirty grand in tithing, mortgage interest, student loans, unreimbursed medical expenses, and 401k contributions.

Lots of people do, just not as many as used to do it. For a married couple you are looking at both making about 65,000 which especially in some areas is not a high salary.

I've also found it is good to keep track of some things even if you don't think you will need it. Sometimes things happen that make your tax situation a whole lot different than you planned. So I keep track of all my medical bills, mileage that might be deductible, taxes, work related expenses, 401K info etc throughout the year.  If I don't end up needing them I can toss or shred them.  

 

Edited April 9, 2023 by Rain

[JAHS]

8 hours ago, Hamilton Porter said:

I do it on church premises. The church has explicitly encouraged these types of gatherings.

I have not heard of the church explicitly encouraging such groups but they are OK if the Stake President and Bishop have approved it. 
I remember back in the 80's some members got into trouble in such groups because they were diverting into unofficial gospel subjects and ideas and some members of these groups were leaving the church because of it.

Edited April 9, 2023 by JAHS

[Calm]

9 hours ago, Hamilton Porter said:

I do it on church premises. The church has explicitly encouraged these types of gatherings.

Outside of class, family groups, missionary led groups, or family home evening gatherings?  CFR please for explicit encouragement, preferably for older adults.

PS:  I am seeing encouragement for youth and YSA and other “singles” churchwise to get a scripture study group together, but not married adults with all member families…though I suppose we could be the “other” below, lol.  I am interested if this is what you are mentioning (perhaps you are not married or in a part member family).

Quote

When the Come, Follow Me program was first introduced, Elder Quentin L. Cook said, “It would be completely appropriate for young singles, single adults, single parents, part-member families, new members, and others to gather in groups outside the normal Sunday worship services to enjoy gospel sociality and be strengthened by studying together.”

https://www.churchofjesuschrist.org/study/ya-weekly/2022/12/how-to-study-come-follow-me-when-youre-single?lang=eng

 I remember when the Church instructed most adult study groups to be disbanded several decades ago as there was some significant going down the wrong path with some of them, people getting into pet gospel hobbies and some false teachers finding some groupies, etc.  I am curious to see how approved adult study groups are described, if limits are put on them…thus the need to see the explicit encouragement or instructions if there are some.

Edited April 9, 2023 by Calm

[Hamilton Porter]

18 minutes ago, Calm said:

Outside of class, family groups, non missionary led groups, or family home evening gatherings?  CFR please for explicit encouragement.

Non missionary led group.

[Calm]

16 minutes ago, Hamilton Porter said:

Non missionary led group.

I don’t know why I typed a “non” in there when I meant “missionary led”.  I have corrected it.

It is the non missionary led, adult study groups explicit encouragement I am interested in.  Could you please post your reference(s) if it is not the one I posted.  Most people my age are wary of such groups due to such groups becoming taboo in the past.

They even discontinued older adult (non college ages) institute classes because of that issue in an old ward of mine. 

Edited April 9, 2023 by Calm

[InCognitus]

37 minutes ago, Calm said:

 I remember when the Church instructed most adult study groups to be disbanded several decades ago as there was some significant going down the wrong path with some of them, people getting into pet gospel hobbies and some false teachers finding some groupies, etc.  I am curious to see how approved adult study groups are described, if limits are put on them…thus the need to see the explicit encouragement or instructions if there are some.

I think the internet fills that void for most people now (for the "significant going down the wrong path with some of them, people getting into pet gospel hobbies and some false teachers finding some groupies, etc." part).

[MustardSeed]

I keep a detailed daily log of all my tax deductions.  We pay a LOT of tax and we take full advantage of every legit deduction possible and I keep copious records using NOTES on my phone.  
 

I own my own business and I travel a lot.  If I didn’t deduct, I could not afford to work. 

[Calm]

20 hours ago, Hamilton Porter said:

Non missionary led group.

CFR for explicit encouragement is still in play please.

[Teancum]

What a fun thread. As CPA that practices tax law, for 35 years, I find all these opinions fascinating.

[LoudmouthMormon]

My Monday morning so far:

- Get my Outlook popup reminder that says "pay tithing"
- Finish opening up my household budget file, checking how much is in the 'tithing' bucket, doing some quick math to see how the total should be broken out between tithing, fast offerings, humanitarian aid
- Log in to the church website, do the direct funds transfer thing.  Easy peasy.  I don't deduct, there'll be zero positive federal tax benefit doing this.
- Come here and post about it, so that I can bathe in the tears of those who think I'm somehow betraying common sense and financial wholesomeness by obeying the principal of tithing at a period of time when the church is in the most comfortable financial position it has ever been in.  Maybe a fifth as big as the Greek Orthodox, but certainly as big as the next 4 largest religious organizations put together.  

[Big, slow, relishing inhale, long pause, and even slower pleasureful exhale]  MMmmmmmmmmmmmmmmmmmm.   Almost as satisfying as the reasons I pay tithing in the first place. 

Edited April 10, 2023 by LoudmouthMormon

[Smiley McGee]

3 hours ago, LoudmouthMormon said:

My Monday morning so far:

- Get my Outlook popup reminder that says "pay tithing"
- Finish opening up my household budget file, checking how much is in the 'tithing' bucket, doing some quick math to see how the total should be broken out between tithing, fast offerings, humanitarian aid
- Log in to the church website, do the direct funds transfer thing.  Easy peasy.  I don't deduct, there'll be zero positive federal tax benefit doing this.
- Come here and post about it, so that I can bathe in the tears of those who think I'm somehow betraying common sense and financial wholesomeness by obeying the principal of tithing at a period of time when the church is in the most comfortable financial position it has ever been in.  Maybe a fifth as big as the Greek Orthodox, but certainly as big as the next 4 largest religious organizations put together.  

[Big, slow, relishing inhale, long pause, and even slower pleasureful exhale]  MMmmmmmmmmmmmmmmmmmm.   Almost as satisfying as the reasons I pay tithing in the first place. 

@Hamilton Porter Propose that you add @LoudmouthMormon’s comment here to the list on your ranking thread. 

Edited April 10, 2023 by Smiley McGee

[Hamilton Porter]

9 minutes ago, Smiley McGee said:

@Hamilton Porter Propose that you add @LoudmouthMormon’s comment here to the list on your ranking thread. 

Denied.

[ksfisher]

On 4/8/2023 at 3:03 AM, Hamilton Porter said:

I run a bimonthly Come Follow Me study group where I bring treats. I keep the receipts to get a tax deduction.

I have the Costco app where the receipt is automatically uploaded within 24 hours of my visit.

The Walmart app also allows you to scan your receipt.

Ignore

Brain cramp

Nothing to see here

Edited April 10, 2023 by ksfisher

[LoudmouthMormon]

9 minutes ago, ksfisher said:

If your ward reimburses you from it's budget then it is tax deductible.  Otherwise it's not.  Buying food for your friends, even if eaten on church property, is not tax deductible. 

Most absolutely untrue.  If you spend $100, and the church gives you back $100, then you have spent zero, and have no expense to deduct.

Edited April 10, 2023 by LoudmouthMormon

[JAHS]

7 minutes ago, ksfisher said:

If your ward reimburses you from it's budget then it is tax deductible.  Otherwise it's not.  Buying food for your friends, even if eaten on church property, is not tax deductible. 

CFR. If you are reimbursed it is like you never spent it.

[ksfisher]

9 minutes ago, LoudmouthMormon said:

Most absolutely untrue.  If you spend $100, and the church gives you back $100, then you have spent zero, and have no expense to deduct.

I knew that, duh.  I was thinking in terms of the sales tax.  Sometimes I type faster than I can think, which really isn't that fast.

[LoudmouthMormon]

[deleted.  Dang I hate taxes.]

Edited April 10, 2023 by LoudmouthMormon

[JAHS]

10 minutes ago, ksfisher said:

I knew that, duh.  I was thinking in terms of the sales tax.  Sometimes I type faster than I can think, which really isn't that fast.

Our church reimburses everything to the member including the sales tax. Some churches may not do that however.

[bsjkki]

So,  for my non church related volunteer work I buy a few extras out of pocket. IKEA bags and some simple kids toys. These are not reimbursable by the organization since it is not provided consistently worldwide. Can I keep the receipts and deduct the ‘donation?’ I do use them for use in my work for a recognized charity. 
 

I do track my miles now. It does start to add up. 

[Rain]

17 minutes ago, bsjkki said:

So,  for my non church related volunteer work I buy a few extras out of pocket. IKEA bags and some simple kids toys. These are not reimbursable by the organization since it is not provided consistently worldwide. Can I keep the receipts and deduct the ‘donation?’ I do use them for use in my work for a recognized charity. 
 

I do track my miles now. It does start to add up. 

I keep the receipts, but I also get a receipt from the organization.  I know my organization, Deseret Industries and other places have blank "receipts" where you fill those items in on your own and put the Fair Market Value.