The Tax Court ruled in 1987 that a minister is one who: 1. Administers sacraments 2. Conducts religious worship 3. Has management responsibility in a local church or religious denomination 4. Is ordained, commissioned, or licensed 5. Is considered to be a religious leader by his/her church denomination In 1989, the Tax Court ruled that only the fourth factor is required and that a balancing test should be applied with respect to the remaining four factors. This more flexible test was adopted by the IRS in its audit guidelines for ministers. -Taken from the 2006 Church & Clergy Tax Guide For more essential tax information check out our Related Products: 2007 Church & Clergy Tax Guide 2007 Church & Clergy Tax Guide on CD 2007 Church & Clergy Tax Guide Set |
