by Stephanie
(Illinois)
I am a tax professional who does many clergy tax returns and think I know all the rules but...
Several years ago I had a client start teaching at a Christian College in TX. This college pays him as an employee taking FICA/Medicare and FWH from his check. They also have an amount in box 14 for housing allowance. This amount is on top of his box 1 wages.
We declare it as housing allowance and pay self-employment tax on it every year but I am wondering if this is even correct.
In my opinion, they shouldn't be giving him housing as a teacher. He is not performing sacraments, preaching, or ministering.
I have brought it up with the client who has brought it up with HR at the school. He's pretty much been told to stick with what he knows and go pray and let her do the accounting work.
Comments for College paying Minister employee housing allowance.
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