Is it taxable to the pastor if the church pays into his IRA for him?
(Mustang, OK )
We have been paying our pastor a salary and a few other fringe benefits and are now concerned that we may have been underreporting his income.
The items in question are that we pay his life insurance premiums, but only his, not any of the other staff. He picked out the policy and we pay the premiums directly.
The other question is our payment of his IRA. Every paycheck we pay $100 into an IRA for him. We have not included it in his income and he has not deducted it from his taxes.
Is this taxable for income tax purposes?
Should he be claiming it on his SE tax form?
Click here to post comments
Join in and write your own page! It's easy to do. How? Simply click here to return to Fringe Benefits.
Need a Consultation, help setting up an effective Accounting System, or someone to do your monthly bookkeeping and/or payroll?
Use coupon code "FCA" for 10% discount!