Tax Exemption for Religious Organizations

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http://www.usatoday.com/news/religion/story/2012-06-15/religious-tax-exemption-challenged/55629908/1
Here are some excerpts from the above:
How much money does the U.S. government forgo by not taxing religious institutions? According to a University of Tampa professor, perhaps as much as $71 billion a year.
Ryan Cragun, an assistant professor of sociology, and two students examined U.S. tax laws to estimate the total cost of tax exemptions for religious institutions  on property, donations, business enterprises, capital gains and "parsonage allowances," which permit clergy to deduct housing costs.

"It makes little sense for a group like the Red Cross to pay taxes because what they are doing is truly a benefit to all society," he said. "But if we took religious organizations away, would the government say 'We really need religious-based charity, so we are going to step in.' I don't think they would."

What do you think? Should we eliminate or limit the tax exemptions for religious organizations? Why or why not?

Replies

  • summertime_girl
    summertime_girl Posts: 3,945 Member
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    I absolutely, 100%, think we should remove the tax exemption from religious organizations. They all seem to donate a significant amount to pass legislations (hello, Utah Mormons are the ones who screwed Prop 8!). If churches want to legislate from the pulpit, they should pay their fair share.
  • doorki
    doorki Posts: 2,611 Member
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    I agree that they should be taxed just like everyone else. If they can play in politics, they can pay like the rest of us.
  • KBrenOH
    KBrenOH Posts: 704 Member
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    I absolutely, 100%, think we should remove the tax exemption from religious organizations. They all seem to donate a significant amount to pass legislations (hello, Utah Mormons are the ones who screwed Prop 8!). If churches want to legislate from the pulpit, they should pay their fair share.

    This!
  • jerzypeach
    jerzypeach Posts: 176 Member
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    I agree that they should be taxed just like everyone else. If they can play in politics, they can pay like the rest of us.

    ^^This!!! 1000%
  • TheRoadDog
    TheRoadDog Posts: 11,793 Member
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    They should pay. No exemption.
  • KaleidoscopeEyes1056
    KaleidoscopeEyes1056 Posts: 2,996 Member
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    I'm so torn on this. I don't want to tax churches, because I don't want them to participate in politics. However, like others have mentioned, they do have their hands in the politics, so I think they should have to pay. I hate hate hate the idea of getting church and state more intertwined, but if they're not going to stay out of politics, they should pay their fair share.
  • CasperO
    CasperO Posts: 2,913 Member
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    It's a tough call. I attend a smaller church, and I enjoy it very much. It's a very open group, and we all see the budget. I know how the numbers work. Our minister is an educated woman with a master's degree. Her salary is not high for her education. Our numbers balance every year - every dime in goes back out, usually plus a little and we dip into an annuity.

    If we taxed the church I don't know if it could survive. OTOH, if you only taxed based on "profit" at the end of the year that taxes would be nil, since there is none. Hmmm...

    In my church we tend to talk a lot about 'values',,, and ours tend to be pretty Liberal, and therefore more Democratic,,, but we certainly don't preach how to vote from the pulpit.
  • Bahet
    Bahet Posts: 1,254 Member
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    It's a tough call. I attend a smaller church, and I enjoy it very much. It's a very open group, and we all see the budget. I know how the numbers work. Our minister is an educated woman with a master's degree. Her salary is not high for her education. Our numbers balance every year - every dime in goes back out, usually plus a little and we dip into an annuity.

    If we taxed the church I don't know if it could survive. OTOH, if you only taxed based on "profit" at the end of the year that taxes would be nil, since there is none. Hmmm...

    In my church we tend to talk a lot about 'values',,, and ours tend to be pretty Liberal, and therefore more Democratic,,, but we certainly don't preach how to vote from the pulpit.

    Your church wouldn't have to worry. All taxes are on profits, not total income. My only concern is that if churches were taxed then the busy body ones who want to influence everything from birth control being covered by insurance to gay marriage to Presidential elections would only donate even more time and money towards forwarding their agenda which would then be written off as an expense and not taxed. I can absolutely see some of the more powerful churches doing exactly that. They might have a million in profit but they'll donate it towards their agenda and then it won't be there to be taxed anyhow.

    I would like to see them butt out of politics or end up being taxed but it should probably be more of a case by case basis to deal with them. I also think that if they violate those laws thy should no longer be able to call themselves a church. Maybe if some of their customers, I mean parishioners, saw them for the biased organization they really are they would find someplace to worship that didn't have such biases.
  • k8blujay2
    k8blujay2 Posts: 4,941 Member
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    But what about the churches that aren't interested in politics... at least not as far as policy is concerned... and do put a significant portion of their budgets towards helping the communities they are in... I have been in more churches that have created programs that help teen moms, moms in general, feed and clothe people, help people get on their feet... even the bigger church that I am now a part of that has bigger numbers (in many ways) of the churches I grew up in... While there may be churches and associations that do focus on policy... I would like to think there are more that don't...
  • Azdak
    Azdak Posts: 8,281 Member
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    I am no big fan of organized religion, however I know that puts me in the minority. Religious freedom is one of cornerstones of our Constitution and the fabric of our culture. I would err on the side of caution on this issue--I would rather tolerate a little skirting of the non-profit laws then have the government get involved.

    Given the increased and more blatant political activity by some organized religious, I could certainly see a day when that might change, but I don't think we have reached that point yet--although the US Cardinals are doing their best every day to make me change my mind.