Housing Allowance and the 941 Form

by Judy
(Nashville, TN)

We do not provide a salary for our pastor, only a weekly $200.00 housing allowance. Should we include this amount on the 941 Quarterly form?

1Comments

Do NOT Report Housing Allowance Payments on the 941 Form!

VVickey

No. Housing Allowance payments are considered nontaxable income (even though it is taxable for the recipient on a social security level), so you would not include the amounts designated and paid as a housing allowance on the quarterly 941 forms.