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theHandpuppet

(19,964 posts)
Fri Jul 19, 2013, 05:03 PM Jul 2013

Isn't it time to start taxing churches?

Why is it TPTB never even toy with the idea of taxing churches in order to reduce mounting debts? Too many churches these days have become mega-corporations with global business dealings, real estate, retail markets, etc. -- all of which they are allowed to operate tax-free. This is bullshit. Time to shut down the Elmer Gantrys in this country!

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Isn't it time to start taxing churches? (Original Post) theHandpuppet Jul 2013 OP
how? seriously, short of a constitutional amendment, there is no way cali Jul 2013 #1
There is nothing in the US COnstitution that bans avebury Jul 2013 #10
Freedom of religion Bradical79 Jul 2013 #13
If they are operating as a church, fine. truebluegreen Jul 2013 #44
"free exercise of religion" means the government can't force you geek tragedy Jul 2013 #34
But I think that a church should not be able to claim avebury Jul 2013 #36
Political activity is a whole different can of worms. geek tragedy Jul 2013 #38
If they set a flat income tax that avebury Jul 2013 #41
That's a burden on the free exercise of religion. Doesn't matter if it's non-discriminatory. geek tragedy Jul 2013 #42
uh, you do know that the Constitution is what the 9 robed ones say it is, right? cali Jul 2013 #47
What about other houses of worship? hrmjustin Jul 2013 #53
it was always time and I say so as a faithful person. roguevalley Jul 2013 #56
They should FIND A WAY TO TAX THEM!!!! n/t onecent Jul 2013 #2
No argument from me here. Too many of them here spout the Republican party line. raccoon Jul 2013 #3
No kidding. Zoeisright Jul 2013 #4
Unless the Supreme Court changes its mind, it won't happen. The Velveteen Ocelot Jul 2013 #5
That ruling does not mean that you cannot tax religious organizations. avebury Jul 2013 #12
I don't disagree, but that's not the way the Supremes see it. More from the Walz decision: The Velveteen Ocelot Jul 2013 #19
No it doesn't. Tax exempt status is granted to all non-profit organizations. cbayer Jul 2013 #26
Like the Mormon church? truebluegreen Jul 2013 #46
As I said in another post, I think the IRS has been lax in it's cbayer Jul 2013 #52
The Mormons do a lot of things. Igel Jul 2013 #58
According to Reuters, they get close to 7 BILLION a year in tithes. truebluegreen Jul 2013 #60
Depends dipsydoodle Jul 2013 #6
Older article but a goodie theHandpuppet Jul 2013 #7
want to piss off three of the most important constituencies of the Democratic party? onenote Jul 2013 #8
I saw this today: SomethingFishy Jul 2013 #9
That's the fundies and evangelicals Lydia Leftcoast Jul 2013 #40
It would be unconstitutional Bradical79 Jul 2013 #11
Not unconstitutional, IMHO. longship Jul 2013 #20
Non-profits are not prevented from being political. They are prevented from cbayer Jul 2013 #27
And my friend, your case convinced me to change my position on parsonages. longship Jul 2013 #37
I think there could be a cap. cbayer Jul 2013 #43
my former pastor makes 15 million per year off the backs of poor Heather MC Jul 2013 #14
Only if the church tells its members how to vote Freddie Jul 2013 #15
I'd be happy with just taxing commercial church property. KamaAina Jul 2013 #16
That would be a good start theHandpuppet Jul 2013 #18
Such property is not tax exempt n/t Yo_Mama Jul 2013 #24
Church commercial property IS taxed. GreenStormCloud Jul 2013 #30
Commercial property is taxed. n/t pnwmom Jul 2013 #51
Long past time. Iggo Jul 2013 #17
237 years past time dickthegrouch Jul 2013 #22
Tax all charities. ileus Jul 2013 #21
and all nonprofits Niceguy1 Jul 2013 #35
You're wrong about business-related stuff Yo_Mama Jul 2013 #23
Do you agree to tax all 501(3)c groups? cbayer Jul 2013 #25
No problem. lpbk2713 Jul 2013 #28
How big is the Average Church? One_Life_To_Give Jul 2013 #29
Never going to happen. onenote Jul 2013 #31
This is what I think: Initech Jul 2013 #32
Great idea. Maybe we can bring poll taxes back too. geek tragedy Jul 2013 #33
Only if ALL non-profits are taxed. Don't let your blanket hatred of religion get the best of you Lydia Leftcoast Jul 2013 #39
Message auto-removed Name removed Jul 2013 #45
They are treated just like the other 501(3)c's, none of which are taxed. cbayer Jul 2013 #59
I prefer to start with political organizations BainsBane Jul 2013 #48
I am not in favor of taxing houses of worship. hrmjustin Jul 2013 #49
Unless you tax all non-profits, it would be unconstitutional to single out religious non-profits pnwmom Jul 2013 #50
I wish get the red out Jul 2013 #54
Diminishing returns, like taxing cigarettes. Gidney N Cloyd Jul 2013 #55
K&R MotherPetrie Jul 2013 #57
We're barely keeping them at bay now... MerryBlooms Jul 2013 #61
No, but it might be time to define "church" much more narrowly, LWolf Jul 2013 #62

avebury

(10,952 posts)
10. There is nothing in the US COnstitution that bans
Fri Jul 19, 2013, 05:24 PM
Jul 2013

taxing Churches. And as we have come to realize, any law written and passed in Congress and signed into law can be undone the same way.

I am 100% in favor of taxing churches.

 

Bradical79

(4,490 posts)
13. Freedom of religion
Fri Jul 19, 2013, 05:28 PM
Jul 2013

Taxing of churches means the government could tax a church out of existence.

 

truebluegreen

(9,033 posts)
44. If they are operating as a church, fine.
Fri Jul 19, 2013, 07:06 PM
Jul 2013

If they are operating as for-profit corporations, not so much.

If they are operating as churches but pushing a political agenda, tax the whole ball of wax.

 

geek tragedy

(68,868 posts)
34. "free exercise of religion" means the government can't force you
Fri Jul 19, 2013, 06:26 PM
Jul 2013

to pay money in order to practice it.

The power to tax is the power to destroy.

avebury

(10,952 posts)
36. But I think that a church should not be able to claim
Fri Jul 19, 2013, 06:29 PM
Jul 2013

"Freedom of Religion" if it decides to involve itself in the Government of this country because we are supposed to have separation of church and state.

 

geek tragedy

(68,868 posts)
38. Political activity is a whole different can of worms.
Fri Jul 19, 2013, 06:35 PM
Jul 2013

Careful, though, since the church in the African-American community has been behind political activism for quite some time.

avebury

(10,952 posts)
41. If they set a flat income tax that
Fri Jul 19, 2013, 06:39 PM
Jul 2013

applies to everybody then no one can claim that you are picking on them. Treat everyone equal instead of letting all these Corporations and 1% skate by on minimal to no tax payments.

 

geek tragedy

(68,868 posts)
42. That's a burden on the free exercise of religion. Doesn't matter if it's non-discriminatory.
Fri Jul 19, 2013, 06:41 PM
Jul 2013

Can't go there. Just like they can't tax people for voting.

 

cali

(114,904 posts)
47. uh, you do know that the Constitution is what the 9 robed ones say it is, right?
Fri Jul 19, 2013, 07:11 PM
Jul 2013

I suggest you check out Lemon v Kurtzman.

And no, it's not going to change.

sometimes I really wonder.

raccoon

(31,120 posts)
3. No argument from me here. Too many of them here spout the Republican party line.
Fri Jul 19, 2013, 05:06 PM
Jul 2013

You almost have to be Republican to endure some churches I know of.


The Velveteen Ocelot

(115,854 posts)
5. Unless the Supreme Court changes its mind, it won't happen.
Fri Jul 19, 2013, 05:10 PM
Jul 2013

Walz v. Tax Commission of the City of New York, 397 U.S. 664 (1970), held that granting tax exemptions to religious organizations does not violate the First Amendment.

avebury

(10,952 posts)
12. That ruling does not mean that you cannot tax religious organizations.
Fri Jul 19, 2013, 05:27 PM
Jul 2013

Granting religious organizations is a form of discrimination against all other classes/groups. Why should they be granted protected status?

The Velveteen Ocelot

(115,854 posts)
19. I don't disagree, but that's not the way the Supremes see it. More from the Walz decision:
Fri Jul 19, 2013, 05:40 PM
Jul 2013
All of the 50 States provide for tax exemption of places of worship, most of them doing so by constitutional guarantees. For so long as federal income taxes have had any potential impact on churches -- over 75 years -- religious organizations have been expressly exempt from the tax. [n4] Such treatment is an "aid" to churches no more and no less in principle than the real estate tax exemption granted by States. Few concepts are more deeply embedded in the fabric of our national life, beginning with pre-Revolutionary colonial times, than for the government to exercise at the very least this kind of benevolent neutrality toward churches and religious exercise [p677] generally so long a none was favored over others and none suffered interference.

It is significant that Congress, from its earliest days, has viewed the Religion Clauses of the Constitution as authorizing statutory real estate tax exemption to religious bodies. In 1802, the 7th Congress enacted a taxing statute for the County of Alexandria, adopting the 1800 Virginia statutory pattern which provided tax exemptions for churches. 2 Stat. 194. [n5] As early as 1813, the 12th Congress refunded import duties paid by religious societies on the importation of religious articles. [n6] During this period, the City Council of Washington, D.C., acting under congressional authority, Act of Incorporation, § 7, 2 Stat. 197 (May 3, 1802), enacted a series of real and personal property assessments that uniformly exempted church property. [n7] In 1870, the Congress specifically exempted all churches in the District of Columbia [p678] and appurtenant grounds and property "from any and all taxes or assessments, national, municipal, or county." Act of June 17, 1870, 16 Stat. 153. [n8]

It is obviously correct that no one acquires a vested or protected right in violation of the Constitution by long use, even when that span of time covers our entire national existence, and indeed predates it. Yet an unbroken practice of according the exemption to churches, openly and by affirmative state action, not covertly or by state inaction, is not something to be lightly cast aside.

http://www.law.cornell.edu/supct/html/historics/USSC_CR_0397_0664_ZO.html

Given that history, I don't think it's likely that taxation of churches would survive a Supreme Court challenge. I don't necessarily like it, but this court certainly wouldn't go for it.
 

truebluegreen

(9,033 posts)
46. Like the Mormon church?
Fri Jul 19, 2013, 07:09 PM
Jul 2013

What "good" do they do with their wealth? And what about those whose main purpose seems to be personal enrichment?

I think "tax-exempt" and "non-profit" status should be narrowly defined and closely watched.

cbayer

(146,218 posts)
52. As I said in another post, I think the IRS has been lax in it's
Fri Jul 19, 2013, 07:15 PM
Jul 2013

enforcement of what is and is not a true non-profit. Clearly there are those flaunting the laws.

OTOH, for every one of them, there are hundreds that are not.

FWIW, the Mormon Church does do a lot of charitable work through their Humanitarian Services division. Like them or not, they most likely do meet non-profit status in this regard.

I completely agree with your last statement. The responsibility lies with the IRS.

Igel

(35,356 posts)
58. The Mormons do a lot of things.
Fri Jul 19, 2013, 07:40 PM
Jul 2013

In addition to the nifty genealogical archives they run.

They have support groups and counseling for members.

They support their own youth groups, including and at times especially Scouts.

They have a nifty university.

They run schools and educational programs.

If you're Mormon and you're hurting for food or clothing or shelter, they'll find it for you. Don't know that they do much for outsiders in that respect, but I could be wrong.


Those groups that seem to be for personal enrichment are a botch. However, just as a bad school doesn't mean that we have to straitjacket all schools; just as a bad Senator doesn't mean that they're all scum; so a bad church or other kind of non-profit doesn't mean they're all bad. Usually those that are really bad get identified by disgruntled members and things go wrong for them, either long-term or in the courts.

 

truebluegreen

(9,033 posts)
60. According to Reuters, they get close to 7 BILLION a year in tithes.
Fri Jul 19, 2013, 08:15 PM
Jul 2013

They keep genealogical archives so that they can baptize their ancestors--or whoever--posthumously. Support groups, counseling, youth groups (but Boy Scouts only, in my experience), schools and educational programs, missionary work (at the missionaries' expense) BYU--all of it is to promote their religion, and not the general good. I have never known them to do anything for outsiders--well, except for preaching at us in public venues.

http://investigations.nbcnews.com/_news/2012/08/13/13262285-mormon-church-earns-7-billion-a-year-from-tithing-analysis-indicates

The Mormon Church is Big Business, not charity, and like many other churches, it supports only itself.

onenote

(42,761 posts)
8. want to piss off three of the most important constituencies of the Democratic party?
Fri Jul 19, 2013, 05:18 PM
Jul 2013

Advocate taxing churches. See how that idea goes over with the African-America community, with the Latino community, and with the Jewish community.

SomethingFishy

(4,876 posts)
9. I saw this today:
Fri Jul 19, 2013, 05:22 PM
Jul 2013

"The director of issues analysis of the fundamentalist American Family Association (AFA) told his radio listeners that they and every American had a "patriotic duty to worship God."

On his Wednesday radio show, Fischer read from the Old Testament Book of Haggai to explain why the U.S. economy was "in a slump."

"If you want a prosperous economy, you've got to have a vibrant spirituality," he said. "When you worship God, you are not just doing the right thing in terms of your relationship with God, you are doing your patriotic duty."

"It is your patriotic duty to worship God in order that we have a prosperous and flourishing economy," Fisher added."

http://videocafe.crooksandliars.com/david/bryan-fischer-americans-have-patriotic-duty-

See apparently God pays for your faith in cold hard cash. Don't see why he shouldn't pay taxes.

Lydia Leftcoast

(48,217 posts)
40. That's the fundies and evangelicals
Fri Jul 19, 2013, 06:39 PM
Jul 2013

They think Jesus was a blond, blue-eyed suburban American military veteran and that Americans are God's Chosen People.

When I was growing up, churches had American flags in their sanctuaries. I haven't seen one in a mainline church for years. The only way we celebrate Fourth of July is to have "America the Beautiful" as the recesssional hymn.

 

Bradical79

(4,490 posts)
11. It would be unconstitutional
Fri Jul 19, 2013, 05:26 PM
Jul 2013

Being able to tax churches would give the government the ability to directly pick winners and losers when it comes to religion.

longship

(40,416 posts)
20. Not unconstitutional, IMHO.
Fri Jul 19, 2013, 05:43 PM
Jul 2013

The law is the non-profit organization tax laws. But it's not likely to change. Churches will likely stay substantially tax free for the foreseeable future.

I would be satisfied with two changes which could be implemented without major changes.

1. The IRS already has the authority to tax tax exempt non-profits for being political. They can and should enforce this. This may not take any new law at all, just enforcing extant regulations. If churches want to get involved in elections, that's okay, but then they lose their tax exemption.

2. The church parsonage exemption is being wildly abused. It should be severely curtailed so that pastors raping their flocks' wallets do not get to live in tax free splendor. That's not to say eliminate it. This will likely take legislative action. It'll be a tough one, but there are plenty of examples where the parsonage exemption goes horribly wrong.

It's a start.

cbayer

(146,218 posts)
27. Non-profits are not prevented from being political. They are prevented from
Fri Jul 19, 2013, 06:01 PM
Jul 2013

endorsing specific candidates.

As you know, I am in some agreement with you about the parsonages, but the nature of these residences vary wildly. I would like to see the IRS take a closer look and perhaps institute caps, but to take it away completely would hurt the most vulnerable in our society, imo, because it would mean the church had less for charitable endeavors.

longship

(40,416 posts)
37. And my friend, your case convinced me to change my position on parsonages.
Fri Jul 19, 2013, 06:29 PM
Jul 2013

That would be a difficult bill to write. But you know that.

Yes, re political. I knew it was candidate endorsement. My bad. That is common with all tax exempt non-profits, not just churches, temples, etc. but churches are treated specially in this regard. Not just any IRS investigator can initiate an investigation. It has to be some big IRS muckity muck. That's why churches have been able to run all over the tax regulations and cross the endorsement line with impunity. They rarely if ever get called to account, so to speak.

But with a little effort, these two taxes could be collected on churches.

cbayer

(146,218 posts)
43. I think there could be a cap.
Fri Jul 19, 2013, 07:05 PM
Jul 2013

The parsonages I grew up in were not fancy, but they were decidedly adequate. One of the considerations is that the minister's home has multiple uses. There were meetings and other related events in our home on a frequent basis, including some very anxiety inducing episodes during the late 60's when my father was meeting with rival gang leaders.

Some churches openly flaunt their violation of the law. IIRC, there was even a widely publicized event last year where churches said they were going to openly advocate for candidates. If there was ever an opportunity to intervene, it might have been then.

I think the IRS is still quaking from it's encounters with the scientologists, where they lost badly.

As usual, it is a pleasure.

 

Heather MC

(8,084 posts)
14. my former pastor makes 15 million per year off the backs of poor
Fri Jul 19, 2013, 05:31 PM
Jul 2013

People in the area
Hell yes mega churches should be taxed
And large organized Religions

They take huge sums of $$ from the community and give very little back

Liberty U is buying up property all over Lynchburg. That's property that now the city can't get a tax revenue from. They are definitely taking advantage of the system.

When a few people onwelfare do that Christian Repugs want to shut the entire system down. Well that should be done to wealthy organization too

Freddie

(9,273 posts)
15. Only if the church tells its members how to vote
Fri Jul 19, 2013, 05:32 PM
Jul 2013

My church does a lot of good in the community and even though many of us, including the pastor, are liberal politically, it is *never* suggested from the pulpit how one should vote.

 

KamaAina

(78,249 posts)
16. I'd be happy with just taxing commercial church property.
Fri Jul 19, 2013, 05:36 PM
Jul 2013

To take the extreme case, the LDS Church owns the dominant TV station and newspaper in Utah, and formerly owned its largest department store chain.

GreenStormCloud

(12,072 posts)
30. Church commercial property IS taxed.
Fri Jul 19, 2013, 06:08 PM
Jul 2013

You are poorly informed. The only tax exempt property is that which is used for worship. If they have dual use property then they have to pay taxes on the commercial use.

Yo_Mama

(8,303 posts)
23. You're wrong about business-related stuff
Fri Jul 19, 2013, 05:52 PM
Jul 2013

It IS taxed, in most countries and in the US. Tax law and tax exemptions in the US are purpose-based.

So a church building can be tax-exempt, but if the church operates a book store, that is not tax exempt. A church can rent or own a food kitchen without paying taxes on it, but not a bowling alley.

If you want the tax exemption removed from churches, then lobby Congress about it! That's what they're there for.

cbayer

(146,218 posts)
25. Do you agree to tax all 501(3)c groups?
Fri Jul 19, 2013, 05:56 PM
Jul 2013

Or do you just want to single out churches? There might be some 1st amendment issues here.

IMHO, the IRS needs to do a much better job of examining the non-profit status of some groups, including some churches.

lpbk2713

(42,766 posts)
28. No problem.
Fri Jul 19, 2013, 06:03 PM
Jul 2013



If the flock has the faith they say they do then the spirit in the
sky will provide for them after they settle with the tax man and
everything will be peachy once again. What's the problem here?


One_Life_To_Give

(6,036 posts)
29. How big is the Average Church?
Fri Jul 19, 2013, 06:06 PM
Jul 2013

under 75

The average people population (the ‘mean’) of a given local church in North America is that of 184 people. Or, you might come at it from the perspective that says half of the churches in America have 75 people or less (the ‘median’).


http://prodigalthought.net/2011/01/26/the-average-church-size-in-america/

Seems to me you are going to create a whole lot of trouble and effort to hit the few mega-churches.

onenote

(42,761 posts)
31. Never going to happen.
Fri Jul 19, 2013, 06:15 PM
Jul 2013

Obviously the repubs would never support it. But just as importantly, you would never get anything approaching a majority of Democrats to support it since it would be opposed by three of the largest Democratic constituencies: African-Americans (who identify themsleves as church goers and who regard church as an important element of their lives in greater numbers than any other segment of the population; Latinos, who are just behind African Americans in this regard; and Jews, who may be less devout, but nonetheless would oppose any move that appeared to be "anti-religion," which is how it would be depicted.

This doesn't mean that the government shouldn't be cracking down where religious groups abuse their tax-exempt status, but it does meant the government needs to proceed with extreme caution

Initech

(100,102 posts)
32. This is what I think:
Fri Jul 19, 2013, 06:22 PM
Jul 2013

If a church wants to have 40,000 members, make millions, preach politics, and endorse candidates, they pay.

If a church wants to include everybody, help the poor and actually practice what they preach, they're fine.

 

geek tragedy

(68,868 posts)
33. Great idea. Maybe we can bring poll taxes back too.
Fri Jul 19, 2013, 06:24 PM
Jul 2013

Somehow, taxing the free exercise of religion would probably be unconstitutional.

Remember that taxing churches means taxing synagogues, mosques, and atheist discussion groups.

Lydia Leftcoast

(48,217 posts)
39. Only if ALL non-profits are taxed. Don't let your blanket hatred of religion get the best of you
Fri Jul 19, 2013, 06:35 PM
Jul 2013

Some of you come out of megachurches or have no religious background at all. You don't know what your talking about when it comes to the mainline churches, especially the ones in the city.

Those of you who know only evangelical megachurches have no idea what a shoestring most mainline churches operate on and how they use volunteers to leverage that money to help an awful lot of people. My church feeds hundreds of people per week and provides a drop-in center for street people.

Are secular people going to take up the slack if my church and other like it are forced to close because of having to pay taxes?

If a church is a political front group or a scam for moneymaking, by all means the IRS should go after it.

Response to theHandpuppet (Original post)

cbayer

(146,218 posts)
59. They are treated just like the other 501(3)c's, none of which are taxed.
Fri Jul 19, 2013, 08:14 PM
Jul 2013

Do you think the exemption should be removed for all non-profit organizations?

pnwmom

(108,995 posts)
50. Unless you tax all non-profits, it would be unconstitutional to single out religious non-profits
Fri Jul 19, 2013, 07:13 PM
Jul 2013

for taxation.

So do you want to eliminate all tax breaks for non-profits?

LWolf

(46,179 posts)
62. No, but it might be time to define "church" much more narrowly,
Fri Jul 19, 2013, 08:55 PM
Jul 2013

limiting it to local organizations who are strictly limited to non-profit spiritual services, and specifically prohibited from profit-making and political activities.

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