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What would change if churches lost their tax exempt status?

9 Answers

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  • Mike B
    Lv 6
    7 years ago

    Estimates put the Church of England's assests at around 4bn, the revenue at 10% from that in 400,000,000, can you imagine what that would do for the UK deficit, can you think of the numbers of nurses, doctors, teachers, home care workers, child minders, and more that such a windfall would pay for.

    Then add in the Catholic Church, Islam, and the Jewish faith, there would be at least a billion, that would go a very long way, just once, as a windfall, one off tax it would solve a lot of problems.

    So why does religion sit on these riches, charitable status is meant to mean that the money is spent on people in need, yet it turned out that the Church of England had investments in shares, and those shares were in a pay day lender that screwed the poorest to make a profit.

    The hypocrasy of religion when it comes to money knows no bounds, the religious should be asking questions and making demands, not coughing up every time the collection plate comes around.

  • 7 years ago

    Smaller churches would have to cut back their ministry just to keep the lights on, which would hurt the community around them that depends on their outreach.

    Megachurches wouldn't suffer for the most part. They'd be slightly inconvenienced.

    Churches receive their tax exempt status because of the community outreach that they do. Churches run the overwhelming majority of America's food banks and homeless shelters. Churches are one of the greatest mobilizing forces in response to crises such as tornadoes, earthquakes or hurricanes. To tax them would render most churches largely powerless in easing the burdens of a community.

    While churches themselves are tax exempt, the salaries of the staff are not. So if you think your pastor is not paying taxes, you're wrong. Even if you work for a non-profit organization, you still pay taxes if you yourself receive a salary.

  • 7 years ago

    Good question. But the question itself implies that Churches currently enjoy some legacy favorable status and thus 'escapes' from paying tax that they owe.

    Churches like all other non profit entities do not pay federal income tax. All entitles, corporations and individuals all must pay tax to the full extent of their income. Churches do not profit and do not have income beyond their expenses. It is a perfectly accepted practice to use extra monies to expand your church just like a non profit hospital can add an extra wing.

    The employees of the church pay their own federal taxes.

    God bless you,

  • 7 years ago

    The government would instantly start making about 86 billion dollars a year, which would be enough to feed everyone on food stamps and house all the homeless. I doubt it would change the religions much since they already ask for way more money that they need.

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  • User
    Lv 7
    7 years ago

    For one thing: the amount of humanitarian aid that churches supply worldwide would be *greatly* reduced.

  • 7 years ago

    Various charitable enterprises would be in a world of hurt.

  • 7 years ago

    They would charge you at the door instead of asking for donations

    Source(s): Atheist
  • anon
    Lv 7
    7 years ago

    they would have a say in government and policy

  • Donna
    Lv 7
    7 years ago

    Holy hell, lol.

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