What amount do I need to enter on my taxes for housing allowance?

by Sarah
(Richmond, IN)

I am trying to do our taxes this year, and my husband's income is designated as housing allowance. Do I put the gross amount or the amount after federal taxes have been taken out each month? Thanks!

Comments for What amount do I need to enter on my taxes for housing allowance?

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Feb 22, 2013
taxes
by: Anonymous

here is the IRS site that will help you: http://www.irs.gov/Businesses/Small-Businesses-&-Self-Employed/Minister-Audit-Technique-Guide

Prayers

Mar 11, 2013
A Church Should NOT Withhold Any Taxes on a Housing Allowance Designation.
by: Vickey

I would like to clarify something in your post. You asked, "Do I put the gross amount or the amount after federal taxes have been taken out each month?"

If FICA taxes are being withheld ... then the minister does not qualify for a housing allowance. See this page on clergy taxes....

and...

if 100% of his compensation has been designated as a housing allowance...which by the way can be a very smart move...then no income tax should be held out as well as the housing allowance is exempt from income taxes.

A minister should make quarterly estimated tax payments if he estimates he will owe self-employment taxes after all exemptions and credits are applied to his personal tax return.

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