Why are churches tax exempt?

[Canpinter]

it has nothing to do with separation of church and state "congress shall make no law respecting and establishment of religion or prohibiting the free expression thereof" taxing the income of an organization dose not prohibit its ability to function as a religion.

[shimerra]

This, churches to me was an entity that gave back to the community, but it seems it goes back into making its self more money.

I volunteered at a Church run organization for aids outreach. They do a lot of work helping people with Aids making sure they can both afford their treatment and simple things like food for their family. While I don't believe in god the church I went to with my family as a kid took up donations regularly for them which is how I found out about them. All the money, every cent they say they collect for them goes to them and as far as charities go the Saint Therese Center. And I've got a pretty good idea about where the money goes because I've known the church's current director of finance who left a very well paying job and became a deacon since I was a little kid. The Mormon church for hurricane Katrina were there standing by outside the disaster zone with donations of food and other relief before government officials were even letting people back in and as far as the money that actually reaches those it's supposed to help is one of the best in the world. There's a long list of top-notch church run and backed charities and if Karl Rove's can get tax exempt status for his blatantly political organization I'm not going to get that hung up about churches.

So it seems to me you're like most people. Seeing what you want to see. You see a nice mosaic at a large church and think all the money in the collection plate goes to that, or hear the one story about the one priest with sticky fingers and assume it's the norm.

[Abysal]

Just for the sake of argument, a lot of churches actually do legitimate charity work. Many of them do "food pantries" which is basically giving out free food to the needy. That alone is enough to count as a charity by some standards.

Pastors also provide free counselling to families in times of grief.

Granted there are plenty of churches that don't do these things or do other things that should negate that, but just for the sake of argument I think it needed to be pointed out that churches often do legitimate charity work.

[Åmbulance]

Not really. We're talking about the same clause, I'm citing the full thing to point out there's more to it than opposing legislation.

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Yes. That's campaigning against a candidate. Expressly forbidden.

So when I witness happening, who do I report it to?

[MechaMoose]

This, churches to me was an entity that gave back to the community, but it seems it goes back into making its self more money.

And somehow the Government isn't going to do the exact same thing?

[Agoonga]

Because churches are supposed to be charitable, and sometimes they are.

[Ilfayt]

Depending on the area, churches still do that - the one I frequent (which is not even close to being a mega church, though it's not tiny either) has a strong focus on giving to charities or providing services to the community like free meals or donation drives for school supplies or clothing for families that need that stuff, and other such things.

There's only church in the area that I know of that operates more like a business and less like a charitable organization (out of dozens of churches).

That's the same deal here for me, and for the communities I've lived at in both Kentucky and Indiana. For every 'megachurch' in a 100 mile area, there's about 100-200 others that are either kept to themselves, or like the one I'm at, extremely charitable. I actually was going to go with them when we had about 30 people from our small congregation go to Oklahoma to help with the Tornado damage, but I am currently house sitting for someone, and can not leave the household. I've given monetary support to the project though. I've been out multiple times with previous projects of ours.

That's how it is with most 'groups' in the world. The public and/or media portray them as one 'immovable blob' that can't possibly have anything other than one thought process. It's surprising how easily people(from all 'sides') tout 'acceptance' and turn right around profile a whole group under one mentality.

[Canpinter]

the worst issue is how hard it is to get tax exempt status for a charity if its not religious in nature, a church group gets a rubber stamp while others have to deal with mounds of paperwork.

[oblivionx]

You were actually citing a part of 501 (c) (3); I was pointing out that there's a further prohibition on any political campaigning in addition to "substantial" propaganda on legislation. Basically, if the government decides to outlaw the holy cross a church is allowed to lobby the government against the legislation, but it can't involve itself in an election.

I was quoting the 1934 decision.

[Mifuyne]

Like they haven't made enough yet leeching off people for centuries.

[Khoranth]

the worst issue is how hard it is to get tax exempt status for a charity if its not religious in nature, a church group gets a rubber stamp while others have to deal with mounds of paperwork.

When you give your kid $20, the gov't doesnt come and tax it. So why would your $20 be taxed if you give it to a church?

[RicardoZ]

Seperation of church and state. The state doesn't collect taxes, the church doesn't collect government aid.

That and if they were taxed then they would be entitled to representation in the government. The founding fathers wanted to avoid that.

[Durandro]

Well, we non-whatever-they-are would not be upset if they didn't get involved in politics like they're not suppose to.

Indeed. There's no real seperation of church and state when religious groups are able to lobby for change on religious grounds, or place religious leaders into places of authority that have nothing to do with religion.

Its a poor defense to cover up con artists.

[Shakari]

I volunteered at a Church run organization for aids outreach. They do a lot of work helping people with Aids making sure they can both afford their treatment and simple things like food for their family. While I don't believe in god the church I went to with my family as a kid took up donations regularly for them which is how I found out about them. All the money, every cent they say they collect for them goes to them and as far as charities go the Saint Therese Center. And I've got a pretty good idea about where the money goes because I've known the church's current director of finance who left a very well paying job and became a deacon since I was a little kid. The Mormon church for hurricane Katrina were there standing by outside the disaster zone with donations of food and other relief before government officials were even letting people back in and as far as the money that actually reaches those it's supposed to help is one of the best in the world. There's a long list of top-notch church run and backed charities and if Karl Rove's can get tax exempt status for his blatantly political organization I'm not going to get that hung up about churches.

So it seems to me you're like most people. Seeing what you want to see. You see a nice mosaic at a large church and think all the money in the collection plate goes to that, or hear the one story about the one priest with sticky fingers and assume it's the norm.

That's pretty much the story of humanity lol. Its always the "few" that tarnish it for the many, and unfortunately its not going to change any time soon and also religion has not exactly got a squeaky clean reputation for caring and being nice historically, more a case of do as your told or else reputation, both lend towards a rather skeptical view from a lot of people and some communities.

[oblivionx]

There is also an inclusion of tax exempt in one of the many Revenue Acts (post 1916 of course).

[Arcanist]

Someone already gave the answer above.

But they certainly SHOULD be taxed given the extent that American churches and the religious right involve themselves in politics.

[oblivionx]

What decision?

I think you meant the Revenue Act of 1934.

I believe that's where the placed the first limitation of churches tax exempt status, which is what I quoted.

[Durandro]

My take on it is that an 8 year president has no business trying to void 300+ years of tax exempt status of churches in America.

By that standard no-one ever could.

[oblivionx]

Yes but 1934 was when the restriction against lobbying was introduced.

It's not much a restriction with it's wording ;p

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But like I said there were significant challenges to it during FDR, LBJ, Clinton and this administration is obviously exploring it.

[Raintola]

Thank you for being the only one with a legitimate answer.

Churches also tend to raise the value of the land they're built on, as well as the land of the neighborhood they're built in. There was actually a neighborhood in Arizona that didn't want a Mormon temple built nearby because it would've increased the value of the land their houses were built on to the point where most of them couldn't afford the property taxes.

http://www.azcentral.com/arizonarepu...fects0103.html