If you receive a W-2 from your church and you had withholdings for Social Security and Medicare taxes (boxes 4 and 6 respectively on your W-2) and this is your only income, you will report this information directly into TurboTax and you can use any TurboTax Product to prepare your taxes.
However, if you receive a W-2 or a letter that states your income and no taxes were withheld for Social Security and Medicare, regardless of your employment status under the common law, the IRS considers the services you perform in the exercise of your ministry to be self-employment earnings and these earnings are generally subject to self-employment tax. See Publication 517, Social Security and Other Information for Members of the Clergy and Religious Workers, for limited exceptions from self-employment tax.
If your earnings from Clergy services are considered self-employment income, your income will be reported on Schedule C. For both TurboTax Online and TurboTax Desktop (CD/download), you will need to use TurboTax Home and Business in order to have the program walk you through this section.
When entering your W-2 information, you will be asked "Do any of these uncommon situations apply to this W-2?" You will check the box for "Religious Employment" and the TurboTax program will ask you a series of questions related to your income. See attached screenshot
Please note that you can request an exemption from
self-employment tax for your ministerial earnings, if you are opposed to
certain public insurance for religious or conscientious reasons. You cannot
request exemption for economic reasons. To request the exemption, file Form 4361
(PDF), Application for Exemption from Self-Employment Tax for Use by
Ministers, Members of Religious Orders and Christian Science Practitioners,
with the IRS.
For information about Clergy Housing Allowance reporting requirements, please see additional information here
https://ttlc.intuit.com/replies/3749603
