Religious organizations would qualify for new property tax exemptions under legislation being considered by the Arizona House of Representatives. The measure would allow churches to avoid taxes on property used for activities other than religious worship.  The bill’s sponsor, Republican Rep. Justin Olson, said the current religious-exemption law has resulted in many lawsuits because county [...]

Four takeaways for churches in the midst of projected declines. A company specializing in computer-based reports and forecasts for charitable giving in the United States says giving to religion rose steadily in 2012 compared to 2011.  The religious sector, though, has seen its share of the overall charitable giving market shrink, and a dismal outlook [...]

Allegheny County in Pennsylvania puts nonprofits on notice: Facing rising public pressure in a region dominated by tax-exempt giants, Allegheny County soon will require all nonprofits with property to prove they deserve their tax breaks. At Tuesday’s county council meeting, Executive Rich Fitzgerald announced plans to send letters to all 9,000 non-government tax-exempt properties in [...]

Recently the Fifth Circuit Court of Appeals, in Griffen v. S&B Engineers and Constructors, Ltd. (here) affirmed a judgment for an employer who was sued by its employees for travel time that the employer did not include as working time. There are essentially four general rules about when travel time might constitute working, compensable time [...]

Religious leaders sharply rejected any federal efforts to impose new laws or regulations on them, saying in a formal report to Sen. Charles Grassley that more effective administration of today’s rules and donor education would be the best way to curb any possible wrongdoing. The report came after Sen. Charles Grassley asked a panel of [...]

“The roadside sign says we’re the Church of the Good Shepherd. That’s only part of the story. We also really try to be the Church of the Good Neighbor. As a small Methodist church in suburban Virginia, we face the multiple challenges of distinguishing ourselves as constructive members of a small community, as a center [...]

The IRS has recently released a determination letter denying recognition of federal income tax exemption to an organization claiming to be an online church ministry.  The applicant, a nonprofit corporation, proposed to provide “Christian spiritual leadership and pastoral care to individuals and fellowships in the international community of believers” who visit its website.  The entity [...]

For years the IRS has refused to rule on whether contributions to a single-member limited liability company (SMLLC) that is wholly owned and controlled by a U.S. charity and otherwise disregarded for federal income tax purposes are deductible as charitable contributions.  In Notice 2012-52 the Service provides the following: If all other requirements of § [...]

Durden v. Commissioner (T.C. Memo. 2012-140 (May 17, 2012)), involved a Texas couple who claimed a deduction of $25,171 for cash contributions to their church. The church sent a letter of acknowledgement in January of 2008; however that acknowledgment/receipt lacked a statement of whether any goods or services were provided to the Durdens for their [...]

The Tax Court’s recent decision in Mohamed v. Commissioner, T.C. Memo 2012-152 should get every do-it-yourself tax preparer reason to reconsider seeking professional legal assistance.  In Mohamed, a prominent California entrepreneur and philanthropist who everyone seems to concede contributed over $18,000,000 in real estate to qualified charities, received zero charitable contribution deduction because of his [...]