Pastor / Clergy Tax Preparation Specialist

Ordained clergy have unique challenges surrounding tax preparation. Let me help you have the peace of mind knowing your tax returns are accurate and follow the IRS rules.

  

Many C.P.A. tax preparers are NOT experts in the intricacies of clergy tax rules!  Think of it this way - would you seek out your family practice physician if you needed back surgery? Of course not!  You need a specialist - that's where I can help. 

Examples of mistakes I've seen this year alone  from 2018 clients of C.P.A. preparation companies:   

 

1. Disregarding rules about social security and Medicare withholdings on W-2s and treating the clergy salary as the same as any other salary.  

2. Calculating self-employment tax on housing allowances alone.  (Self-employment is calculated on both salary + housing allowance). 

3. Using the short form for Self Employment tax calculation rather than the long form in circumstances that required the long form.

4. Filing a form 2555 (excluding foreign-earned income) instead of a form 1116 (gives taxpayer a credit for foreign taxes paid). This mistake costs parents the child tax credit, worth $2000 per child!  

Consequences of Disregarding Tax Rules

Failure to comply with these rules can result in significant additional taxes and penalties for the minister and the employer. Anyone employing ministers should have an internal specialist address compliance in this area or solicit assistance from a tax adviser who is well versed in the rules. Those advising ministers should also be familiar with these rules to ensure compliance and to help their clients take full advantage of the available tax benefits.

How can Heritage Income Tax, Ltd help me? 

We at Heritage Income Tax will interview and advise you on the tax strategies that will lead to the lowest tax liability for you and your family.  We do this for every client. Clergy will receive a detailed interview session with Aubrey, accounting inquiries and an evaluation of W-2s for all ministerial positions.  We can advise on IRS approved housing expenses that can be allocated to the housing allowance. 

Make the first step:  Call us today.  (513) 900 - 9513.  Overseas or out of town may inquire at aubrey@heritageincometax.com 

 

Aubrey L. Corcoran 

Pastor/Clergy/Ministerial Taxation Expert

B.A. Converse College 1998

M.A. University of Maryland University College 2006

Income Tax School Graduate