Pre-Approval for Housing Allowance

by Stewart
(Murrieta CA)

What exact provision in the IRS code calls for the governing board of a church to approve, in writing, the housing allowance to be paid to a minister prior to any paymentsmade thereunder?

Comments for Pre-Approval for Housing Allowance

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Mar 26, 2012
Housing requirements
by: Anonymous

IRS Pub 1828 is one all churches should have on hand. Also Pub 525 and the Pub 15 series. These will give be a big help as to what is required. Pub 517 states:"Designation requirement. The church or organization that employs you must officially designate the payment as a housing allowance before the payment is made. A definite amount must be designated. The amount of the housing allowance cannot be determined at a later date.
If you are employed and paid by a local congregation, a resolution by a national church agency of your denomination does not effectively designate a housing allowance for you. The local congregation must officially designate the part of your salary that is to be a housing allowance. However, a resolution of a national church agency can designate your housing allowance if you are directly employed by the national agency. If no part has been officially designated, you must include your total salary in your income"

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