Church of god benefits board, inc. just another wordpress.com site gas 76 station

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As we have discussed earlier, Congress ended 2017 by passing the largest tax bill in over 31 years. While some call this tax reform, most would say that it was just tax legislation in that the Tax Code remains as complicated as ever. static electricity jokes On the positive side, the Benefits Board, with assistance from some of our Administrative Bishops and pastors across the country, was able to make substantial in-roads on protecting many of the tax provisions that dealt with our retirement plan and ministers in general.

There has been much discussion about the impact of the tax reform bill on charitable giving. Most of the discussion is speculation at this point. However, because the standard deduction has been increased so drastically, many former itemizers will no longer find it advantageous to itemize – and end-of-year giving will most likely drop off. Consider these statistics according to Charity Navigator:

Due to the potential drop off in giving at year-end because of the new tax bill, it is suggested that churches, state/regional offices, and other non-profits plan their annual budgets without the historical December “bump.” For many churches, giving in December increases some 50% over an average month. It would be wise not to plan for such an increase in coming years.

• New W-4 – also on February 28, the IRS issued new W-4 withholding forms. electricity nightcore lyrics Since the old W-4s were based upon personal exemptions that were eliminated by the new legislation, the new W-4s (found at https://www.irs.gov/pub/irs-pdf/fw4.pdf) should be used for all new employees and for change in status (marriage, new child, change in dependents, etc.) of current employees.

All church treasurers and pastors should pay close attention to the changes required by the new tax legislation. If not, such could result in either over-withholding or under-withholding of tax liability. Further, the Internal Revenue Service has given notice that they plan to make further changes involving withholdings over the coming months and even into 2019. gas 0095 Therefore, it is important that you stay aware of impending changes.

On October 6, 2017, a federal district court judge in Wisconsin ruled that the ministerial housing allowance violates the Constitution. Judge Barbara Crabb held that Section 107(2) of the Tax Code, the provision that specifically addresses the “cash” ministerial housing allowance, violates the Establishment Clause of the First Amendment, simply because it does not have a secular purpose or effect, and because it singles out “ministers of the Gospel” for special tax treatment not available to others.

Although Judge Crabb ruled that the ministerial housing allowance was unconstitutional, she did not immediately implement a ruling as to what was supposed to happen next. In a follow-up order dated December 13, 2017, Judge Crabb issued an injunction that prohibits the government from enforcing Section 107(2) of the Tax Code. Simply stated, the injunction prohibits the Internal Revenue Service from allowing ministers to claim the housing allowance as an exclusion from income. f gas regulations However, as expected, the judge “stayed” the injunction until “180 days after the conclusion of any appeals.” Therefore, if the decision is upheld on appeal, the order mandates that the injunction will become effective 180 days after the appeal process is completed in order to allow an orderly transition. The judge noted that “the additional time will allow Congress, the IRS and affected individuals and organizations to adjust to the substantial change.”

On February 8, 2018, the unconstitutional determination was appealed to the Seventh Circuit Court of Appeals in Chicago, continuing a legal battle that ultimately could end up before the U. S. Supreme Court. At the appropriate time in the appeals process, it is expected that the Church of God International Offices and the Church of God Benefits Board will file a “friend of the court” brief in support of maintaining the housing allowance for both active and retired ministers.

Although we are only a few weeks into the new year, church treasurers hopefully have already given W-2s to employees, Form 1099s to independent contractors, and charitable receipts to all that contributed more than $250 at any one time to the church over the past year. All of these tasks are critically important and should be accomplished immediately.

With a change in the law (Public Law 114-113), it is now more important than ever that these tasks be completed as quickly as possible. Historically, an employer/church has been required to provide its employees with a W-2 prior to January 31 – and to provide a 1099 by January 31 to independent contractors who cumulatively received more than $600 over the course of the year. types of electricity consumers These provisions and requirements have not changed.

However, previously a copy of the employer’s W-2s and 1099s did not have to be sent to the Social Security Administration and Internal Revenue Service until later. If you were sending paper copies, they had to be sent by the end of February and if you were filing them electronically, you had until the end of March to transmit those forms. This delay allowed employers to correct W-2s and 1099s before they were filed with the government.

Congress ended 2017 by passing the largest tax bill in over 31 years. electricity journal While many call this tax reform, in reality it was just tax legislation. On the positive side, the Benefits Board, with assistance from some of our Administrative Bishops and pastors across the country, was able to make substantial in-roads on protecting many of the tax provisions that dealt with our retirement plan and ministers in general.

There has been much discussion about the impact of the tax reform bill on charitable giving. Most of the discussion is speculation at this point. gas in back symptoms However, because the standard deduction has been increased so drastically, many former itemizers will no longer find it advantageous to itemize – and end-of-year giving will most likely drop off. Consider these statistics from Charity Navigator:

Due to the potential drop off in giving at year-end because of the new tax bill, it is suggested that churches, state/regional offices, and other non-profits plan their annual budgets without the historical December “bump.” For many churches, giving in December increases some 50% over an average month. It would be wise not to plan for such an increase in coming years.

With the individual tax rate changes, all withholding amounts for employees should be reviewed. On January 11, 2018, the IRS released Notice 1036 ( https://www.irs.gov/pub/irs-pdf/n1036.pdf) that detailed withholdings under the new tax tables. In addition, by mid-February an on-line calculator is supposed to be available to allow employers and employees to check withholding rates to make sure such is sufficient. Although W-4 withholding forms are based upon personal exemptions that were eliminated by this new legislation, the IRS is recommending that the old W-4s be used until such time as new W-4s are available later this year.