I have filing question?

I took a salary reduction to have money designated as Social Security allowance which I received quarterly to pay my Self employment taxes. Is that allowance to be report as income/Salary on line 7 of the 1040 form, or is it excluded.

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Apr 04, 2015
filing question. . .
by: Lewis in NC

My understanding is it would be considered income to you and listed on line 7, unlike the housing allowance which would be excluded from line 7.

Apr 06, 2015
Social Security allowance
by: D Fry

We have routinely designated a portion of the pastor's compensation as SECA payment, basically to pay the amount that a typical employer would pay as EE FICA for an employee. That amount is a part of his taxable income. In addition, because there is a tax impact on that amount, we "gross up" the amount to cover the additional SECA amount due.

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