How Laws and Tax Codes Impact Our Fellowship

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How Laws and Tax CodesImpact Our
FellowshipEveryone must submit himself to the
governing authorities, for there is no authority
except that which God has established. Romans
131
Monmouth church of Christ September 26, 2004
Source Church Law and Tax Report, 2003-2004
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Topics To Be Covered

• Cash Donations
• Non-Cash Donations or Gifts
• Political Statements
• Confidentiality Rules
• Sexual Orientation
• Prayer Lists / Medical Privacy Issues

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Deductibility of Cash Donations

• Cancelled check
• Record of cash given with date / amount / name of
  church
• Receipt from the church saying how much was given

Members, not the church, are responsible for
record keeping.
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Deductibility of Individual Cash Donations over
250

• Documentation must be obtained by the donor from
  the church or charitable institution
• Burden is on the donor to obtain the
  documentation
• Cancelled check is not sufficient documentation

250
5
Deductibility of Non-Cash Donations to the Church

• More then 500, need to file IRS Form 8232
• More than 5000, need an appraisal, cannot assume
  blue book value
• See IRS Publication 4302

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Deductibility of Non-Cash Donations to the Church

• Must make donation to the church, not specific
  individuals.
• Individual programs within the church can be
  specified, however.
• This general rule applies to all donations,
  cash or non-cash

7
Political StatementsThe church cannot

• Contribute to political campaign funds
• Public statements, verbal and written, in favor
  of or in opposition to, candidates for public
  office
• Distribute a voters guide containing questions
  demonstrating a bias on certain issues
• Endorse candidates
• Engage in political fund raising

8
Confidentiality Privileged Communications

• Statements made by a member of the congregation
  to a minister (or shepherd) in the professional
  character and position as a spiritual advisor or
  counselor
• Statements made to a minister outside this
  professional relationship are not privileged.

9
Confidentiality Privileged Communications

• Exception
• Ministers are required reporters of child
  abuse/neglect under a conservative interpretation
  of NJ laws on mandatory child abuse reporting.

10
Can Churches Discriminate in Employment on the
Basis of Sexual Orientation?

• NJ Ruling
• It shall not be an unlawful employment practice
  for a religious association or organization to
  utilize religious affiliation as a uniform
  qualification in the employment of clergy,
  religious teachers or other employees engaged in
  the religious activities of the association or
  organization, or in following the tenets of its
  religion in establishing and utilizing criteria
  for employment of an employee.

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Medical Issues Privacy
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Medical Issues HIPAA
The Health Insurance Portability and
Accountability Act (HIPAA) - Hospitals
cannot call the church to inform them when
a member has been admitted to the hospital -
Hospitals can inform designated clergy with
Patients name Patients general condition
Location in the Hospital Religious
affiliation
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Medical Issues Privacy
Privacy Violations or Invasion of
Privacy Recent court ruling uses this
language The right of privacy is the right of
a person to be let alone, To be free from
unwarranted publicity, and to live without
unwarranted interference by the public in matters
which the public is not necessarily concerned.
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Medical Issues Privacy

• The medical condition of a church member in the
  hospital may be shared with congregation only
  with the members consent.
• A medical worker in a hospital or clinic may
  not share medical information about a patient
  with the congregation without the patients
  consent.

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Medical Issues Privacy

• Implied consent the agreement that known
  information will be shared with the congregation
  unless the patient/member advises otherwise
• The member/patient informs the office as to what
  is appropriate to share in the bulletin
• The congregation asks the member/patient what is
  appropriate to share